PART C: INQUIRY [6 MARKS] An inexperienced accountant made the following entries. In each case, the...

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PART C: INQUIRY [6 MARKS] An inexperienced accountant made the following entries. In each case, the explanation to the entry is correct. Dec 17 Accounts Receivable.. Cash. 2,500 To record collection from a customer whose payment terms are n/30 31 Cash..... Bad Debts Expense.. Collection of account previously written off as 31 Bad Debts Expense.... uncollectible under allowance method Allowance for Doubtful Accounts. To recognize estimated bad debts based on 2% of accounts receivable balance of $600,000 Prepare the correcting entries, without reversing the original entry. 2,500 1,000 1,000 1,200 1,200 PART C: INQUIRY [6 MARKS] An inexperienced accountant made the following entries. In each case, the explanation to the entry is correct. Dec 17 Accounts Receivable.. Cash. 2,500 To record collection from a customer whose payment terms are n/30 31 Cash..... Bad Debts Expense.. Collection of account previously written off as 31 Bad Debts Expense.... uncollectible under allowance method Allowance for Doubtful Accounts. To recognize estimated bad debts based on 2% of accounts receivable balance of $600,000 Prepare the correcting entries, without reversing the original entry. 2,500 1,000 1,000 1,200 1,200