Question 8 of 8 - /20 At the beginning of the current period, Sweetwater Corporation had balances in Accounts Receivable of $216,000 and in Allowance for Doubtful Accounts of $10,000 (credit). During the period, Sweetwater had credit sales of $864,000 and collections on account of $824,600. Sweetwater expects a return rate of 5%. Sweetwater uses a perpetual inventory system and determined that the cost of goods sold during the period was $723,600. Sweetwater wrote off as uncollectible, accounts receivable of $8,400. However, a $3,800 account previously written off as uncollectible was recovered before the end of the current period, Uncollectible accounts are estimated to total $27,000 at the end of the period. Prepare the entries to record sales, cost of goods sold, and collections during the period. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts) Debit Account Titles and Explanation Accounts Receivable Credit 864000 Refund Liability (To record sales) To record cost of goods sold) Prepare the entry to record the write-off of uncollectible accounts during the period. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts.) Account Titles and Explanation Debit Credit eTextbook and Media List of Accounts Prepare the entries to record the recovery of the uncollectible account during the period. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts) Account Titles and Explanation Debit Credit (To reverse write-off of account receivable) (To record recovery of uncollectible amount) Prepare the entry to record bad debts expense for the period. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts) Account Titles and Explanation Debit Credit Using Taccounts, determine the ending balances in Accounts Receivable and Allowance for Doubtful Accounts. (Post entries in the order of journal entries presented in the previous question) Accounts Receivable Allowance for Doubtful Accounts 1 What is the carrying amount of the receivables at the end of the period? Carrying Amount of Receivables $ eTextbook and Media List of Accounts
