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Question 1 of 2 8Points Information (thousands) related to Beejee Company for 2019 is summarized below: Total credit sales $8287.584, Accounts receivable at December 31
Question 1 of 2 8Points Information (thousands) related to Beejee Company for 2019 is summarized below: Total credit sales $8287.584, Accounts receivable at December 31 $3182.018, Bad debts written off $168.57 Instructions: (a) What amount of bad debts expense will Beejee Company report if it uses the direct write-off method of accounting for bad debts? (b) Assume that Beejeejee Company decides to estimate its bad debts expense as a % of credit sales. What amount of bad debts expense will Beejee record if (i) it uses bad debt as 2.5% of sales and (ii) Allowance for Doubtful Accounts has a credit balance of $24.106. (C) Assume that Beejeejee Company decides to estimate its bad debts expense as a % of accounts receivable. What amount of bad debts expense will Beejee record if (1) it uses bad debt as 6.1% of accounts receivable and (ii) Allowance for Doubtful Accounts has a credit balance of $28.091. (d) What amount of bad debts expense will Beejee record if Allowance for Doubtful Accounts in (C) has a debit balance of $14.687
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