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Wheelys, Inc. designs and sells footwear with a wheel in the heel, worn by sometimes-annoying kids at shopping malls. It recently disclosed the following information

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Wheelys, Inc. designs and sells footwear with a wheel in the heel, worn by sometimes-annoying kids at shopping malls. It recently disclosed the following information concerning the Allowance for Doubtful Accounts in its annual report. SCHEDULE 11 Valuation and Qualifying Accounts (dollars in thousands) Allowance for Doubtful Accounts Balance at Beginning of Year Additions Charged to bad Debt Expense Write ofta Balance at End of Year 2017 2016 2015 $189 410 130 $ 0 333 435 $ 69 554 7 $ 120 189 410 Required: 1a. Complete the T-account for the Allowance for Doubtful Accounts by entering into it the 2017 amounts from the above schedule. (Enter your answers in thousands.) Allowance for Doubtful Accounts Beg bal End, bal 1-b. Complete the T-account in equation format given below to prove that the above Items account for the changes in the account (Enter your answers in thousands.) Beginning balance Bad Debt Expanse Write Offs Ending Balance 3. Record summary journal entries for 2016 related to (a) estimating Bad Debt Expense and (6) writing off specific balances. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field, Enter your answers in thousands.) View transaction let Journal entry worksheet > 2 Record the estimate of Bad debt expenses for 2016. Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general Journal 4. Supply the missing dollar amount for 2015. (Enter your answer in thousands.) Allowance for Doubtful Accounts Balance at Beginning of Year Additions Charged to Bad Debt Expense Write Offs Balance at End of Year $ 2015 130 $ $ 435 410 4. Supply the missing dollar amount for 2015. (Enter your answer in thousands.) Allowance for Doubtful Accounts Balance at Beginning of Year Additions Charged to Bad Debt Expense Write Offs Balance at End of Year s 130 2015 $ 435 $ 410 5.a. If Wheelys had written off an additional $20 of Accounts Receivable during 2017 and the ending allowance balance was estimated to be $120 (dollars in thousands), will net receivables be affected? Yes O No 5.b. f Wheelys had written off an additional $20 of Accounts Receivable during 2017 and the ending allowance balance was estimated to be $120 (dollars in thousands), will the net income be affected? Yes No

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