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! Required information Check my wa [The following information applies to the questions displayed below.] At year-end December 31, Chan Company estimates its bad
! Required information Check my wa [The following information applies to the questions displayed below.] At year-end December 31, Chan Company estimates its bad debts as 0.50% of its annual credit sales of $804,000. Chan records its bad debts expense for that estimate. On the following February 1, Chan decides that the $402 account of P. Park is uncollectible and writes it off as a bad debt. On June 5, Park unexpectedly pays the amount previously written off. Determine the impact of the December 31, February 1, and June 5 transactions on the accounting equation. For each transaction, indicate whether there would be an increase, decrease, or no effect, for Assets, Liabilities, and Equity. Note: Leave no cells blank. Assets Liabilities Equity December 31 February 1 June 5
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