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Mazie Supply Co. uses the percent of accounts receivable method. On December 31, it has outstanding accounts receivable of $70,500, and it estimates that 5%
Mazie Supply Co. uses the percent of accounts receivable method. On December 31, it has outstanding accounts receivable of $70,500, and it estimates that 5% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $1,199 credit balance before the adjustment (b) a $353 debit balance before the adjustment. View transaction list View Journal entry worksheet No Transaction General Journal Debit Credit 1 (a) 589 Bad debts expense Allowance for doubtful accounts 589 2 (b) Bad debts expenso Allowance for doubtlul accounts 1,763 1,763 Prey 5 of 11 Next >
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