Journal Entries for Accounts and Notes Receivable Pomona, Inc., began business on January 1. Certain transactions for the year follow: Jun.8 Received a $30,000, 60 day. six percent note on account from R. Elliot. Aug.7 Received payment from R. Elliot on her note (principal plus interest) Sep.1 Received an $18.000 120 day, Seven percent note from B. Shore Company on account. Dec 16 Received a $14,400.45 day, eight percent note from C. Judd on account Dec 30 B. Shore Company failed to pay its note. Dec.31 Wrote off B. Shore's account as uncollectible. Ponoma, Inc. uses the allowance method of providing for credit losses. Recorded expected credit losses for the year by an adjusting entry. Accounts written off during this first year have created a debit balance in the Allowance for Doubtful Accounts of 524,500. An analysis of aged receivables indicates that the desired balance of the allowance account Dec 31 should be 521,300 Dec.31 Made the appropriate adjusting entries for interest. . Required Record the foregoing transactions and adjustments in general journal form. (Round all int nearest dollar.) General Journal Debit Description Credit Date 0 Jun.8 30.000 Notes Receivable-R. Elliot O Accounts Receivable-R. Elliot 30,000 Received a 60-day, 6 percent note on account. 31,800 X 0 Aug.7 Cash 0 Interest income 1.800 x Notes Receivable R. Elliot 0 31,800 X To record receipt of principal plus interest from R. Elliot. Sep.1 Notes Receivable--B. Shore Company 18,000 O Accounts Receivable - B. Shore Company 18,000 Received a 120-day, 7 percent note on account. Dec 16 Notes Receivable--C. Judd 14,400 Accounts Receivable-C. Judd 0 14,400 Received a 45-day, 10 percent note on account. Dec 30 Accounts Receivable - B. Shore Company 18,420 0 Interest income O 420 Notes Receivable--B. Shore Company O 18,000 To record dishonoring of B. Shore Company's note. Dec 31 Allowance for Doubtful Accounts 18,420 0 Accounts Receivable - B. Shore Company OV 18,420 To write off B. Shore's account. Dec.31 Bad Debts Expense 45,800 0 Allowance for Doubtful Accounts 0 45,800 To record allowance for uncollectible accounts. Dec 31 Interest Receivable 144 X 0 Interest income 0 144 X To accrue interest income on December 16 note. S > V