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Required information Use the following information for the Exercises 10-11 below. (Algo) [The following information applies to the questions displayed below.] At year-end December 31,

Required information Use the following information for the Exercises 10-11 below. (Algo) [The following information applies to the questions displayed below.] At year-end December 31, Chan Company estimates its bad debts as 1.00% of its annual credit sales of $673,000. Chan records its bad debts expense for that estimate. On the following February 1, Chan decides that the $337 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. Exercise 9-10 (Algo) Percent of sales method; write-off LO P3 Prepare Chan's journal entries to record the transactions of December 31, February 1, and June 5. View transaction list Journal entry worksheet 1 2 3 4 Record the estimated bad debts expense. Note: Enter debits before credits. Date December 31 General Journal Debit Credit Record entry Clear entry View general journal Exercise 9-13 (Algo) Percent of accounts receivable method LO P3 Mazie Supply Company uses the percent of accounts receivable method. On December 31, it has outstanding accounts receivable of $100,500, and it estimates that 5% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $1,709 credit balance before the adjustment. (b) a $503 debit balance before the adjustment. View transaction list Journal entry worksheet < 1 2 Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has a $1,709 credit balance before the adjustment. Note: Enter debits before credits. Transaction (a) General Journal Debit Credit Record entry Clear entry View general journal >

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