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Percent of Sales Method At the end of the current year, Accounts Receivable has a balance of $3,750,000, Allowance for Doubtful Accounts has a credit
Percent of Sales Method
At the end of the current year, Accounts Receivable has a balance of $3,750,000, Allowance for Doubtful Accounts has a credit balance of $22,750, and sales for the year total $48,400,000. Bad Debt Expense is estimated at of 1% of sales.
a. Determine the amount of the adjusting entry for uncollectible accounts.
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Operational Profitability Conducting Management Audits
Authors: Robert M. Torok, Patrick J. Cordon
1st Edition
0471172251, 978-0471172253
