QUESTION RAD DES ALLOWANCE FOR DE BISZALLOWANCE FOR DOUBTFUL ACCOUNTS - Debt Expense and Allowance for ABC Company had credit sales of $2. walice or $2,000 Allowance for Doubtful Acets sales of $2,200,000 for the year. The Allowance for Doubtful Accounts has a credit to adjusting entries. The accounts receivable balance is $400,000. Cercentage of Credit Sales also referred to as the income Statement approach is PART A: Assumption: Percentage of used by ABC Company Bad Debts Expenses of Credit Sales Calculate the of Debt Expense Doubtful Accounts on the Balance Sheet as of December 31 Bad Debt Expense the amount of Bad Det Expense for the year and the amount the balance in the Allowance for Allowance for Doubtful Accounts Prepare the Journal Entry required to record Bad Debts Expense Date Account PR Debit Credit Prepare the A/R section of the Balance Sheet for ABC Company roach is used by H PART o f dews Receu We also called the Balance Steel Approach ABC Co t o determine Bed Debes ABC hus estimated that 6% of the accounts receivable will be uncollectible. The allowance for Down Account has a credit balance of $2.000 prior to adjusting entries. Calculate the amount of Bad Debt Expense for the year and the amount the balance in the Allowance for Doubtful Accounts on the Balance Sheet as of December 31 Bad Debt Expense Allowance for Doubtful Accounts Debit Credit Prepare the Journal Entry required to record Bad Debts Expense Date Account PR Prepare the A/R section of the Balance Sheet for ABC Company ACC HOS "ARTC /RITE OFF Bad Debts ABC Company determined u OFT Date termined that Me Smith's account of $700 was deemed uncollectible and should be written Account PR Debit Credit What entries would be read he shequently paid his account? Date Account Debit Credit