STC 4G ( 2:59 PM a bbappsrv.pmu.edu.sa FOR CH.7/1096 ASSIGNMENT FOR CH.7/10% Intermediate Accounting II Assign ment2/10% Q1 :(2 marks) Minquo Company had a $700 credit balance in Allowance for Doubtful Accounts at December 31. 2012, before the current year's provision for uncollectible accounts. An aging of the accounts receivable revealed the following Estimated Percentage Current Accounts $120,000 156 1-30 days past due 20,000 3% 31-60 days past due 10,000 6% 61-90 days past due 10,000 12% Over 90 days past due -8000 30% Total Accounts Receivable $168.000 Instructions (a) Prepare the adjusting entry on December 3, 2012, to recognize bad debts expense. (b) Assume the same facts as above except that the Allowance for Doubtful Accounts account had a $500 credit balance before the current year's provision for uncollectible accounts. Prepare the adjusting entry for the current year's provision for uncollectible Q2::(2 marks) Handel Company uses the allowance method for estimating uncollectible accounts. Prepare journal entries to record the following transactions: January 5 Sold merchandise to Miles Winston for $2,000, terms n/15 April 15 Received S600 from Miles Winston on account August 2 rote off as uncollectible the balance of the Miles Winston account when she declared bankruptcy