Need help with Journal Entries JE Year 1 and JE Year 2. I always leave a thumbs up, Thank You!
Problem 7-4A Accounts receivable transactions and bad debts adjustments LO C1, P2, P3 Liang Company began operations in Year 1. During its first two years, the company completed a number of transactions involving sales on credit, accounts receivable collections, and bad debts. These transactions are summarized as follows Year 1 a. Sold $1,346,600 of merchandise (that had cost $981.400) on credit, terms n/30. b. Wrote off $18.600 of uncollectible accounts receivable. c. Received $671,200 cash in payment of accounts receivable. d. In adjusting the accounts on December 31, the company estimated that 250% of accounts receivable would be uncollectible Year 2 e. Sold $1.525700 of merchandise (that had cost $1,346,300) on credit terms 1/30 f. Wrote off $34,300 of uncollectible accounts receivable. g. Received $1.342.700 cash in payment of accounts receivable, h. In adjusting the accounts on December 31, the company estimated that 2.50% of accounts receivable would be uncollectible. Required: Prepare journal entries to record Lang's Year 1 and Year 2 summarized transactions and its year end adjustments to record bad debts expense (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable) (Round your intermediate calculations to the nearest dollar) Complete this question by entering your answers in the tabs below. JE Year JE Year 2 Prepare journal entries to record Lang's Year 1 summarized transactions and its year end adjustments to record bad debts expense, (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable) JE Year 1 JE Year 2 Prepare journal entries to record Liang's Year 1 summarized transactions and its year-end adjustments to record bad debts es (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable.) View transaction list View journal entry worksheet . No Transaction General Journal Debit Credit 1 a(1) Accounts receivable 1,346,900 Sales 1 346,900 2 2 a(2) Cost of good sold Merchandise inventory 3 3 b Allowance for doubtful accounts Accounts receivable 4 c Cash Accounts receivable 5 Bad debts expense Allowance for doubtful accounts JE Year 2 > JE Year 1 JE Year 2 Prepare journal entries to record Liang's Year 2 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable.) View transaction list View journal entry worksheet No Transaction General Journal Debit Credit 1 e(1) Accounts receivable Sales 2 e(2) Cost of good sold Merchandise inventory 3 1 Allowance for doubtful accounts Accounts receivable 4 9 Cash Accounts receivable 5 h Bad debts expense Allowance for doubtful accounts
