THE COMPANY:

Aylmer Industries Inc. $($Aylmer$)$ has been in business since $2021.$ Aylmer has two main business segments. This first segment is the construction of large$-$scale projects. In $2023,$ Aylmer had two large construction projects in process. The other segment is the purchase and sale of small machines needed for the construction industry.

There are $250,000$ common shares outstanding of this publicly traded company. Since Aylmer is a publicly traded company, it follows IFRS.

There are no preferred shares outstanding.

The trial balance at December $31,2023$ and December $31,2022$ are provided for comparison purposes on the tab $$Trial Balance$$ in the excel file. Use this excel worksheet to post journal entries required, to ensure that you remain in balance. The worksheet should also be used to provide a basis of preparing the financial statements at December $31,2023.$

Ignore income taxes for this project.

Aylmer posted transactions throughout the year and the trial balance in excel was prepared. Aylmer$$s fiscal year$-$end is December $31$st$.$ As a year$-$end review, management of Aylmer discovered that the following items have NOT been recorded and are NOT reflected in the trial balance provided at December $31,2023$:

Analyze and review the following items $($a $$ n$)$ and determine the appropriate journal entry. Record the journal entry in the excel file labelled $$journal entries$.$ Use the various tabs in the excel file to record calculations and support for your journal entries.

TRANSACTIONS NOT INCLUDED IN THE TRIAL BALANCE:

a$.$ Calculate bad debt

On December $31,$ after many attempts at collecting the outstanding balance of Copper Gallery, the controller decided to write off that balance.

Aylmer calculates bad debt on trade receivables only, not on project receivables. Bad debt is estimated to be:

$0-30$ days $1\%$

$3160$ days $5\%$

$6190$ days $7\mathrm{.}5\%$

$91120$ days $10\%$

Over $120$ days $15\%$

In the excel spreadsheet, see the tab labelled $$Trade Accounts Receivable Detail$$ to perform any necessary calculations. Be sure to write off the balance of Copper Gallery referenced above before doing these calculations. i have provided the necessary amounts and there is two entries to do one is to write off the receivables and the second is to record the bad debts expense$/$allowance for doubtful accounts you will need to calculate whats the total should be and then adjust the allowance so that it equals the actual