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Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry for bad debt expense is recorded only at December 31,

Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry for bad debt expense is recorded only at December 31, the companys fiscal year-end. The 2015 balance sheet disclosed the following:

Current assets:
Receivables, net of allowance for uncollectible accounts of $50,000 $532,000

During 2016, credit sales were $1,850,000, cash collections from customers $1,930,000, and $59,000 in accounts receivable were written off. In addition, $5,000 was collected from a customer whose account was written off in 2015. An aging of accounts receivable at December 31, 2016, reveals the following:

Percentage of Year-End Percent
Age Group Receivables in Group Uncollectible
060 days 65 % 4%
6190 days 15 10
91120 days 15 30
Over 120 days 5 50

Required:
1.

Prepare summary journal entries to account for the 2016 write-offs and the collection of the receivable previously written off. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

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