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Question 2 (10 marks) A credit sale is integral to the AFDD (Limited) AFDD. The accounting records of the company reveal the following data. [Ignore
Question 2 (10 marks) A credit sale is integral to the AFDD (Limited) AFDD. The accounting records of the company reveal the following data. [Ignore GST]. the current method with an ageing of the accounts receivable method. The following analysis was obtained with respect to the accounts receivable. Required: a) Prepare journal entries to adjust the allowance for doubtful debts on 30 June 209 using the net credit sales method [3 Marks] ANSWER a): b) Prepare journal entries to adjust the allowance for doubtful debts on 30 June 209 using the ageing of accounts receivable method [3 Marl ANSWER b): c) Determine the balance in the allowance for doubtful debts account under the net credit sales method [2 Marks] ANSWER c): d) Determine the balance in the allowance for doubtful debts account under the ageing of accounts receivable method [2 Marks] ANSWER d)
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