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Providing for doubtful accounts Ak the end of the current yeac, the accounts receivabie account has a debit balance of $999,000 and sales for the
Providing for doubtful accounts Ak the end of the current yeac, the accounts receivabie account has a debit balance of $999,000 and sales for the year total 511,330,000. a. The aflowance account before adjustment has a deblt bolance of $13,500. Bad debt experise is estimated at 1/4 of 1%6 of sales. b. The allowance account before adjustment has a debit balance of $13,500. An aging of the accounts in the customer ledger indicates estimated doubtfut accounts of $43,200. c. The allowance account before adjustment has a credit balance of $9,500. Bad debt expense is estimated at 3/4 of 1% of sales. d. The allowance account before adjustment has a credit balance of $9,500. An aging of the accounts in the customer ledger indicates estimated doubtul accounts of $78,900 Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) isted above. a. 4 b. c. d
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