Providing for Doubtful Accounts

At the end of the current year, the accounts receivable account has a debit balance of $6,125,000 and net sales for the year total $66,800,000.

a.The allowance account before adjustment has a debit balance of $18,000. Bad debt expense is estimated at of 1% of net sales.

b.The allowance account before adjustment has a debit balance of $18,000. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $475,000.

c.The allowance account before adjustment has a credit balance of $10,000. Bad debt expense is estimated at of 1% of net sales.

d.The allowance account before adjustment has a credit balance of $10,000. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $360,000.

Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) listed above.

a. $

b. $

c. $

d. $