P8-2A Prepare journal entries related to bad debt expense, and compute ratios. At December 31, 2016, Suisse Imports reported this information on its balance sheet Accounts receivable $600,000 Less: Allowance for doubtful accounts 37,000 During 2017, the company had the following transactions related to receivables. 1. Sales on account $2,500,000 2. Sales returns and allowances 3. Collections of accounts receivable 2,200,000 41,000 15,000 4. Write-offs of accounts receivable deemed uncollectible 5. Recovery of bad debts previously written off as uncollectible Instructions (a) Prepare the journal entries to record each of these five transactions. Assume that no cash discounts were taken on the collections of accounts receivable. (Omit cost of goods sold entries.) (b) Enter the January 1, 2017, balances in Accounts Receivable and Allowance for Doubtful Accounts, post the entries to the two accounts (use T-accounts), and determine the balances. A/R bal. $809,000 (c) Prepare the journal entry to record bad debt expense for 2017, assuming that aging the accounts receivable indicates that estimated bad debts are $46,000 (d) Compute the accounts receivable turnover and average collection period. P8-3A Journalize transactions related to bad debts. Presented below is an aging schedule for Bryan Company At December 31, 2016, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $8,000 Instructions (a) Journalize and post the adjusting entry for bad debts at December 31, 2016. (Use T-accounts.) (b) Jounalize and post to the allowance account these 2017 events and transactions: 1.March 1, a $600 customer balance originating in 2016 is judged uncollectible 2.May 1, a check for $600 is received from the customer whose account was written off as uncollectible on March 1 (c) Journalize the adjusting entry for bad debts at December 31, 2017, assuming that the unadjusted balance in Allowance for Doubtful Accounts is a debit of $1,400 and the aging schedule indicates that total estimated bad debts will be $36,700