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The following information is from the 2017 records of Lane Bicycle Shop: Bad debts expense is estimated by the aging-of-receivables method. Management estimates that $6,000
The following information is from the 2017 records of Lane Bicycle Shop: Bad debts expense is estimated by the aging-of-receivables method. Management estimates that $6,000 of accounts receivable will be uncollectible. Calculate the ending balance of Allowance for Bad Debts, after the adjustment for bad debts expense, at December 31, 2017. Supporting Materials Accounts receivable, December 31, 2017 Allowance for Bad Debts, December 31, 2017 prior to adjustment Net credit sales for 2017 Accounts written off as uncollectible during $41,000 (debit) 1,500 (debit) 180,000 2017 20,000 Cash sales during 2017 27,000 $5,400 $9,000 $8,000 $6,000
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