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Question 4 (25 Marks) a) The Trade Receivable balance and Allowance for Bad Debts for Services Sdn Bhd at September 1, 2019 was RM16,200 and
Question 4 (25 Marks) a) The Trade Receivable balance and Allowance for Bad Debts for Services Sdn Bhd at September 1, 2019 was RM16,200 and RM3,000 (credit balance). During the year, Services completed the following transactions: (12 marks) Service revenue on account, RM398,700. Collections on account, RM330,000. Write-offs of uncollectible, RM9,150. Bad debts expense of RM7,500 was recorded. Requirements 11. Journalize Services' transactions for 2020 assuming Services uses the allowance method. 2. Post the transactions to the Trade Receivable, Allowance for Bad Debts, and Bad Debts Expense T-accounts, and determine the ending balance of each account. 3. Show how trade receivable would be reported on the balance sheet at August 31, 2020
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