M8-6 Determining Financial Statement Effects of Write-Offs and Bad Debt Expense Using the Allowance Method [LO 8-2]

Using the following categories, indicate the effects of the following transactions. Indicate the accounts affected and the amounts. (Enter any decreases to account balances with a minus sign.)

a.	During the period, customer balances are written off in the amount of $11,600.
b.	At the end of the period, bad debt expense is estimated to be $9,600.