The Smith Company recorded the following transactions for the year ending December 31, 20X7. Journalize the transactions in an Excel spreadsheet for year-end 20X7 using the aging method. Assume that the allowance for doubtful accounts has a beginning credit balance of $8,000 on January 1, 20X7.

Assignment Template attached below

Label the transactions below as journal entries #1 to #4, along with the dates of the entries:

February 20, 20x7: Wrote off Jones account: $750.

May 20, 20x7: Received $410 as partial payment on the $700 accounts receivable due from Garcia.

August 10, 20x7: Received $725 from Jones on the account written off on February 20, 20x7.

September 15: Wrote off the individual accounts receivables for the following customers as payment not expected in future: Tang: $400; Mulaka: $210; Quan: $375.

December 31, 20x7: Smith Company prepared the following aging schedule for its accounts receivables:

$120,000 of Accounts Receivable (A/R) are 0-30 days late: 3% probability of being uncollectible.

$30,000 of A/R are 31-60 days late: 10% probability of being uncollectible.

$14,000 of A/R are 61-90 days late: 20% probability of being uncollectible.

$1,000 of A/R are later than 90 days late: 50% probability of being uncollectible.

Instructions:

Using the Excel spreadsheet template provided for this assignment, submit the following items:

The four journal entries (1 to 4 above) with a one-sentence description for each entry.

The T-account for the allowance for doubtful accounts.

The journal entry to record bad debt expense.

The balance sheet presentation of net realizable value, including gross accounts receivables of $29,500

Each assignment must include a title page and reference page. Review the grading rubric to understand how you will be graded on this assignment. Reach out to your instructor if you have questions.

Instructions: Prepare the journal entries in Question 1. Use these accounts to complete the entries: Cash, Allowance for doubtful accounts, Garcia Accounts Receivable, Jones-Accounts Receivable, Tang-Accounts Receivable, Mukala . Accounts Receivable, and Quan Accounts Receivable. Question 1 Journal# Date Account Title Debit Credit 20-Feb 20-May 10-Aug 15-Sep Question 2 Dates T-Account for Allowance for Debit Credit Begining balance 20-Feb 10-Aug 5-Sep Bad Debt Expense- Ending Balance Calculations: Aging schedule Accounts Receivable Amount UncollectionUncollectible Probability Days Late Amount Question 3: Journal entry for bad debt expense Date Account Title Debit Credit 31-Dec Question 4 Balance Sheet Presentaion s Accounts Receivables Ending Balance of Allowance for Doubtbul Accounts Net Realizable Balance