Reporting and Analyzing Recelvables Received Carpenter's check in full payment for the purchase of August 4 Wrote off the account of Craw Co. against the Allowance for Doubtful Accounts. The $498 bal Chapter 7 14 15 Sold $3,250 of merchandise (that had cost $1,758) to customers who used their Goldman cards. 22 ance in Craw Co.'s account stemmed from a credit sale in November of last year Required e perpetual Prepare journal entries to record the preceding transactions and events. (The company uses th inventory system. Round amounts to the nearest dollar.) At December 31, 2018, Ingleton Company reports the following results for the year. rting Cash sales... Credit sales... $1,025,000 1,342.000 In addition, its unadjusted trial balance includes the following items. $575,000 debit 7,500 credit Accounts receivable Required 1. Prepare the adjusting entry for Ingleton Co. to recognize bad debts under each of the following inde- pendent assumptions. a. Bad debts are estimated to be 2.5% of credit sales. b. Bad debts are estimated to be 1.5% of total sales. c. An aging analysis estimates that 6% of year-end accounts receivable are uncollectible. 2. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 2018, balance sheet given the facts in part la. 3. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31, 2018, balance sheet given the facts in part lc. Hovak Company has credit sales of $4,500,000 for year 2018. At December 31, 2018, the company's of its December 31, 2018, accounts receivable by age. On the basis of past experience, it estimates the le Allowance for Doubtful Accounts has an unadjusted debit balance of $3,400. Hovak prepares a schedule percent of receivables in each age category that will become uncollectible. This information is summa rized here. December 31, 2018, Accounts Receivable $396,400 Expected Percent Uncollectible 2.0% 4.0 Age of 2 Accounts Receivable Not yet due