Presented below is information from Bridgeport Computers Incorporated.

July 1	Sold $22,300 of computers to Robertson Company with terms2/15, n/60. Bridgeport uses the gross method to record cash discounts. Bridgeport estimates allowances of $1,254 will be honored on these sales.
10	Bridgeport received payment from Robertson for the full amount owed from the July transactions.
17	Sold $292,800 in computers and peripherals to The Clark Store with terms of1/10, n/30.
30	The Clark Store paid Bridgeport for its purchase of July 17.

Prepare the necessary journal entries for Bridgeport Computers.(If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

July 1July 10July 17July 30

(To record sales revenue.)

(To record allowance for sales returns.)

July 10

July 1July 10July 17July 30

July 1July 10July 17July 30

Exercise 7-7

Indigo Company reports the following financial information before adjustments.

Dr.	Cr.
Accounts Receivable	$138,100
Allowance for Doubtful Accounts	$2,970
Sales Revenue (all on credit)	845,000
Sales Returns and Allowances	53,310

Prepare the journal entry to record bad debt expense assuming Indigo Company estimates bad debts at (a)4% of accounts receivable and (b)4% of accounts receivable but Allowance for Doubtful Accounts had a $1,410 debit balance.(If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

No.	Account Titles and Explanation	Debit	Credit
(a)
(b)