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K Corp had the following account balances on December 31, 2021: Accounts Receivable 20,000 Allowance for Bad Debts 800 (credit) Net credit sales 60,000 The
K Corp had the following account balances on December 31, 2021: Accounts Receivable 20,000 Allowance for Bad Debts 800 (credit) Net credit sales 60,000
The company uses the allowance method to account for uncollectibles. Industry experience suggests that bad debts will amount to 3% of net credit sales. . Prepare the journal entry to record estimated bad debt expense using the percent-of-sales method
K Corp had the following account balances on December 31, 2021:
Accounts Receivable | 20,000 |
Allowance for Bad Debts | 800 (credit) |
Net credit sales | 60,000 |
The company uses the allowance method to account for uncollectibles. Industry experience suggests that bad debts will amount to 3% of net credit sales. .
Prepare the journal entry to record estimated bad debt expense using the percent-of-sales
method
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