Providing for Doubtful Accounts

At the end of the current year, the A claim against the customer created by selling merchandise or services on credit.accounts receivable account has a debit balance of $969,000 and sales for the year total $10,990,000.

a. The allowance account before adjustment has a credit balance of $13,100. The operating expense incurred because of the failure to collect receivables.Bad debt expense is estimated at 3/4 of 1% of sales.

b. The allowance account before adjustment has a credit balance of $13,100. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $41,900.

c. The allowance account before adjustment has a debit balance of $6,200. Bad debt expense is estimated at 1/2 of 1% of sales.

d. The allowance account before adjustment has a debit balance of $6,200. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $51,500.

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.	$