The following transactions were completed by Irvine Company during the current fiscal year ended December 31: Feb. 8 May 27 Aug. 13 Oct. 31 Received 40% of the $18,000 balance owed by DeCoy Co., a bankrupt business, and wrote off the remainder as uncollectible. Reinstated the account of Seth Nelson, which had been written off in the preceding year as uncollectible. Journalized the receipt of $7,350 cash in full payment of Seth's account Wrote of the $6,400 balance owed by Kat Tracks Co., which has no assets. Reinstated the account of Crawford Co., which had been written off in the preceding year as uncollectible. Journalized the receipt of $3,880 cash in full payment of the account. Wrote of the following accounts as uncollectible (compound entry): Newbauer Co., $7.190; Bonneville Co., 85,500; Crow Distributors, SA 400; Fiber Optics, $1.110 Based on an analysis of the $1,785,000 of accounts receivable, it was estimated that $35,700 will be uncollectible. Je Journalized the adjusting entry. Dec. 31 Dec. 31 1. Record the January 1 credit balance of $26,000 in a T-account for Allowance for Doubtful Accounts 2. A. Journalize the transactions. Refer to the Chart of Accounts for exact wording of account titles. B. Post each entry that affects the following selected T-accounts and determine the new balances: Allowance for Doubtful Accounts and Bam Debt Expense. surucuons Dec. 31 uncollectible. Journalized the receipt of $3,880 cash in full payment of the account. Wroto off the following accounts as uncollectible (compound entry): Newbauer Co., $7,190; Bonneville Co. $5,500; Crow Distributors. $9,400; Fiber Optics, $1,110. Based on an analysis of the $1,785,000 of accounts receivable, it was estimated that $35,700 will be uncollectible. Journalized the adjusting entry. Dec. 31 1. Record the January 1 credit balance of $26,000 in a T-account for Allowance for Doubtful Accounts. 2. A. Journalize the transactions. Refer to the Chart of Accounts for exact wording of account diles. B. Post each entry that affects the following selected T-accounts and determine the new balances: Allowance for Doubtful Accounts and Bad Debt Expense 3. Determine the expected not realizable value of the accounts receivable as of December 31 (after all of the adjustments and the acusting entry) 4. Assuming that instead of basing the provision for uncollectiblo accounts on an analysis of receivables, the adjusting entry on December 31 had boon based on an estimated expense or 4 of 1% of the net sales of $18,200,000 for the year, determine the following A Bad debt expense for the year. B. Balance in the allowance account affor the adjustment of December 31 C. Expected net realizable value of the accounts receivable as of December 31 nant or Accounts CHART OF ACCOUNTS Irvine Company General Ledger ASSETS REVENUE 110 Cash 410 Sales 610 Interest Revenue EXPENSES 510 Cost of Goods Sold 111 Petty Cash 121 Accounts Receivable-DeCoy Co. 122 Accounts Receivable-Seth Nelsen 123 Accounts Receivable-Kat Tracks Co. 124 Accounts Receivable-Crawford Co. 125 Accounts Receivable-Newbauer Co. 126 Accounts Receivable-Bonneville Co. 127 Accounts Receivable-Crow Distributors 128 Accounts Receivable-Fiber Optics 520 Sales Salaries Expense 521 Advertising Expense 522 Depreciation Expense-Store Equipment 523 Delivery Expense 524 Repairs Expense Chart of Accounts 128 Accounts Receivable-Fiber Optics 129 Allowance for Doubtful Accounts 524 Repairs Expense 529 Selling Expenses 530 Office Salaries Expense 131 Interest Receivable 132 Notes Receivable 531 Rent Expense 141 Merchandise Inventory 532 Depreciation Expense-Office Equipment 145 Office Supplies 146 Store Supplies 533 Insurance Expense 534 Office Supplies Expense 535 Store Supplies Expense 536 Credit Card Expense 151 Prepaid Insurance 181 Land 537 Cash Short and Over 191 Store Equipment 192 Accumulated Depreciation-Store Equipment 193 Office Equipment 194 Accumulated Depreciation Office Equipment 538 Bad Debt Expense 539 Miscellaneous Expense 710 Interest Expense IIAPILITICO LIABILITIES 210 Accounts Payable 211 Salaries Payable 213 Sales Tax Payable 214 Interest Payable 215 Notes Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends 1. Record the January 1 credit balance of $26,000 in a T-account for Allowance for Doubtful Accounts 2. B. Post each entry that affects the following selected T-accounts and determine the new balances: Allowance for Doubtful Accounts and Bad Debt Expense Feb. 8 26,000 Aug. 13 7,350 Allowance for Doubtful Accounts 10,800 Jan 1 Balance 6,400 May 27 23,200 Oct. 31 Dec. 31 Adjusting Entry 3,170 Dec, 31 Adj. Balance Dec. 31 3,880 Dec.31 Unadjustad Balance Bad Debt Expenso Dec 31 Adjusting Entry 2. A. Journalize the transactions. Refer to the Chart of Accounts for exact wording of account titles. JOURNAL DATE DESCRIPTION POST. REF. DEBIT CREDIT 1 I 2 3 3. Determine the expected not realizable value of the accounts receivable as of December 31 (atter all of the adjustments and the adjusting entry). 4. Assuming that instead of basing the provision for uncollectible accounts on an analysis of receivables, the adjusting entry on December 31 had been based on an estimated expen of 4 of 1% of the net sales of $18,200,000 for the year, determine the following: A. Bad debt expense for the year. Si B. Balance in the allowance account after the adjustment of December 31. S C. Expected not realizable value of the accounts receivable as of December 31. $