pr8-1a allowance method entries

Notes receivable, net Accounts recelvable Allowance for doubtful accounts $1.200,000 295.s00 1,211,500 $1,200,000 11.500 Accounts receivable, net blems: Series A Obj. 4 PR 8-1A Allowance method entries transactions were completed by Irvine Company during the current fiscal year ended December 31 Feb. 8. Received 40%ofthe $18.000 balance owed by Decoy Co. a bankrupt business, and wrote off the remainder as uncollectible. LHMay 27. Reinstated the account of Seth Nelsen, which had been written off in the preceding year as uncollectible. Aug. Oct. Journalized the receipt of $7,350 cash in full payment of Seth's account. 13. Wrote off the $6,400 balance owed by Kat Tracks Co, which has no assets. 31. Reinstated the account of Crawford Co, which had been written off in the preceding year as uncollectible. Journalized the receipt of $3,880 cash in full payment of the account. Co, $5,500: Crow Distributors, $9,400 Fiber Optics, $1,110 uncollectible. Journalized the adjusting entry Dec. 31. Wrote off the following accounts as uncollectible (compound entryl: Newbauer Co, $7,190; 31. Based on an analysis of the $1,785,000 of accounts receivable, it was estimated that $35,700 will be Instructions 1. Record the January 1 credit balance of $26,000 in a T account for Allowance for Doubtful 2. Journalize the transactions. Post each entry that affects the following selected T accounts and determine the new balances: Allowance for Doubtful Accounts Bad Debt Expense 3. Determine the expected net realizable value of the accounts receivable as of December 31. 4. Assuming that instead of basing the provision for uncollectible accounts on an analysis of receivables, the adjusting entry on December 31 had been based on an estimated expense of of 1% of the sales of $18,200,000 for the year, determine the following: A. Bad debt expense for the year B. Balance in the allowance account after the adjustment of December 31. C. Expected net realizable value of the accounts receivable as of December 31