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On December 31, 2015, Patrick Corporation had the following account balances prior to considering the additional information below: Accounts receivable Allowance for doubtful accounts $
On December 31, 2015, Patrick Corporation had the following account balances prior to considering the additional information below: Accounts receivable Allowance for doubtful accounts $ 1,250,000 200 debit balance Additional information: Prior to making adjusting entries, Patrick wrote off a customer account for $12,000. Required: a. Prepare the journal entry to record the write off of the $12,000 account. b. Prepare the adjusting entry for bad debts assuming the company estimates 2% of the remaining receivables balance at year-end will be uncollectible. Show all work below. C. What amount is reported for accounts receivable on the balance sheet? Date Account Debit Credit Show calculations below
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