Homework: Chapter 9 Assignment Score: 0 of 20 pts 3 of 4 (1 complete P9-28A (similar to) On August 31, 2018, Divine Floral Supply had a $150,000 debit balance in Accounts Receivable and a $6,000 credit balance in Allowance for Bad Debu During September, Divine made Sales on account. $540,000. Ignore Cost of Goods Sold. Collections on account, 5581000 Write-offs of uncollectible receivables, 8,000. Read the requirements Requirement 1. Joumaliza September entries using the allowance method Bad Debts Expense was estimated at 4% of credit sales Show all Septimber activity in Accounts Receivable. Alloy Begin by joumalizing 1 September entries using the allowance method. (Record debits first, then credits Select the explanation on the last line of the journal entry) Sales on account, 5540,000. Ignore Cost of Goods Sold Date Account and Explanation Debit Credit Sep 30 Choose from any and then click Check Answer 3 of 4 (1 complete) Receivable and a $6,000 credit balance in Allowance for Bad Debts. During September, Divine made: Debts Expense was estimated at 4% of credit sales. Show all September activity in Accounts Receivable, Allowance for Bad Debts, and Bad Debts Expense post to these T-accounts abits first, then credits. Select the explanation on the last line of the joumal entry table) ebit Credit X Requirements 1. Journalize all September entries using the allowance method. Bad debts expense was estimated at 4% of credit sales. Show all September activity in Accounts Receivable, Allowance for Bad Debts, and Bad Debts Expense (post to these T-accounts). 2. Using the same facts, assume that Divine used the direct write-off method to account for uncollectible receivables. Journalize all September entries using the direct write-off method. Post to Accounts Receivable and Bad Debts Expense, and show their balances at September 30, 2018 3. What amount of Bad Debts Expense would Divine report on its September income statement under each of the two methods? Which amount better matches expense with revenue? Give your reason 4. What amount of net accounts receivable would Divine report on its September 30, 2018, balance sheet under each of the two methods? Which amount is more realistic? Give your reason. Print Done Requirement 1. Joumalize all September entries using the allowance method. Bad Debts Expense was estimated at 4% of credit sal Begin by joumalizing all September entries using the allowance method. (Record debits first, then credits. Select the explanation on t Sales on account, $540,000. Ignore Cost of Goods Sold. Date Accounts and Explanation Debit Credit Sep. 30 R. Accounts Receivable Allowance for Bad Debts Bad Debts Expense Cash Sales Revenue 1. Jourr estim for Be 2. Using uncoll Post to 30, 20 3. What under your re 4. What a balance reason. $8,000 Read the requirements Requirement 1. Journalize al September entries using the allowance method. Bad Debts Expense was estimated at 4% of credi Begin by joumalizing all September entries using the allowance method. (Record debits first, then credits. Select the explanation Sales on account, $540,000. Ignore Cost of Goods Sold. Accounts and Explanation Debit Credit Sep. 30 Date Accounts Receivable Allowance for Bad Debts Bad Debts Expense Cash Sales Revenue 1. 1 2. U 3. ur 4.W ba ree vables, $8,000. Read the requirements. Requirement 1. Joumalize all September entries using the allowance method. Bad Debts Expense was estimated at 4% om Begin by journalizing all September entries using the allowance method. (Record debits first, then credits. Select the explan Sales on account, $540,000. Ignore Cost of Goods Sold. Date Accounts and Explanation Debit Credit Sep 30 Collected cash on account Record sales for the month Recorded bad debts expense for the period. Reinstated previously written off account. Wrote off uncollectible accounts