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On January 1, 2013, Lopez Enterprises had a credit balance of $42,000 in Allowance for Doubtful Accounts. During 2013, Lopez had total sales of $1,
On January 1, 2013, Lopez Enterprises had a credit balance of $42,000 in Allowance for Doubtful Accounts. During 2013, Lopez had total sales of $1, 954,000 that were made on account (also called "credit sales"), but the company estimates that 2.5% of its credit sales will ultimately be uncollectible. During 2013, Lopez wrote off several customer accounts that totaled $39, 850. Prepare the adjusting journal entry to estimate bad debt expense and complete the T accounts that follow. Use the selection lists to enter the transaction description in the T accounts
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