Wilson Leather Products sells leather clothing at both wholesale and retail. The company has found that there is a higher rate of uncollectible accounts from retail credit sales than from wholesale credit sales. Wilson computes its estimated loss from uncollectible accounts at the end of each year. The amount is based on the rates of loss that the firm has developed from experience for each division. A separate computation is made for each of the two types of sales. The firm uses the percentage of net credit sales method. As of December 31, 2019, Accounts Receivable has a balance of $384,000, and Allowance for Doubtful Accounts has a debit balance of $246. The following table provides a breakdown of the credit sales for the year 2019 and the estimated rates of loss:

Category		Amount			Estimated Rate of Loss
Wholesale		$	1,960,000		0.5	%
Retail			509,000		1.2

Required:

1. Compute the estimated amount of uncollectible accounts expense for each of the two categories of net credit sales for the year.
2. Prepare an adjusting entry in general journal form to provide for the estimated uncollectible accounts on December 31, 2019. Use Uncollectible Accounts Expense.
3. Show how Accounts Receivable and Allowance for Doubtful Accounts should appear on the balance sheet of Wilson Leather Products as of December 31, 2019.
4. On January 20, 2020, the account receivable of Columbus Clothiers, amounting to $750, is determined to be uncollectible and is to be written off. Record this transaction in the general journal.
5. On November 26, 2020, the attorneys for Wilson turned over a check for $750 that they obtained from Columbus Clothiers in settlement of its account, which had been written off on January 20. The money has already been recorded in the cash receipts journal. Give the general journal entry to reverse the original write-off

Problem 15.1A Estimating and recording uncollectible accounts transactions on the basis of sales. LO 15- 1, 15-2, 15-3, 15-4 Wilson Leather Products sells leather clothing at both wholesale and retail. The company has found that there is a higher rate of uncollectible accounts from retail credit sales than from wholesale credit sales. Wilson computes its estimated loss from uncollectible accounts at the end of each year. The amount is based on the rates of loss that the firm has developed from experience for each division. A separate computation is made for each of the two types of sales. The firm uses the percentage of net credit sales method. As of December 31, 2019, Accounts Receivable has a balance of $384,000, and Allowance for Doubtful Accounts has a debit balance of $246. The following table provides a breakdown of the credit sales for the year 2019 and the estimated rates of loss: Category Wholesale Retail Amount $ 1,960,000 509,000 Estimated Rate of Loss 0.5% 1.2 Required: 1. Compute the estimated amount of uncollectible accounts expense for each of the two categories of net credit sales for the year. 2. Prepare an adjusting entry in general journal form to provide for the estimated uncollectible accounts on December 31, 2019. Use Uncollectible Accounts Expense. 3. Show how Accounts Receivable and Allowance for Doubtful Accounts should appear on the balance sheet of Wilson Leather Products as of December 31, 2019. 4. On January 20, 2020, the account receivable of Columbus Clothiers, amounting to $750, is determined to be uncollectible and is to be written off. Record this transaction in the general journal. 5. On November 26, 2020, the attorneys for Wilson turned over a check for $750 that they obtained from Columbus Clothiers in settlement of its account, which had been written off on January 20. The money has already been recorded in the cash receipts journal. Give the general journal entry to reverse the original write-off. Analyze: Compute the net accounts receivable amount that should be reported in the financial statements for the year ended December 31, 2019. Compute the net accounts receivable amount that should be reported in the financial statements for the year ended December 31, 2019. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Analyze Prepare an adjusting entry in general journal form to provide for the estimated uncollectible accounts on December 31, 2019. Use Uncollectible Accounts Expense. View transaction list Journal entry worksheet Prepare the journal entry to record the provision for estimated uncollectible accounts. Use Uncollectibe Accounts Expense. Note: Enter debits before credits. General Journal Debit Credit Date Dec 31, 2019 Record entry Clear entry View general journal Analyze: Compute the net accounts receivable amount that should be reported in the financial statements for the year ended December 31, 2019. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Analyze Show how Accounts Receivable and Allowance for Doubtful Accounts should appear on the balance sheet of Wilson Leather Products as of December 31, 2019. WILSON LEATHER PRODUCTS Balance Sheet (Partial) December 31, 2019 Net accounts receivable Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 | Required 4 Required 5 Analyze On January 20, 2020, the account receivable of Columbus Clothiers, amounting to $750, is determined to be uncollectible and is to be written off. Record this transaction in the general journal... View transaction list Journal entry worksheet Record entry to write off account determined to be uncollectible. Note: Enter debits before credits. General Journal Debit Credit Date Jan 20, 2020 Record entry Clear entry View general journal Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Analyze On November 26, 2020, the attorneys for Wilson turned over a check for $750 that they obtained from Columbus Clothiers in settlement of its account, which had been written off on January 20. The money has already been recorded in the cash receipts journal. Give the general journal entry to reverse the original write-off. View transaction list Journal entry worksheet Record entry to reverse Jan 20 entry, writing off the account which was collected in full today. Note: Enter debits before credits. General Journal Debit Credit Date Nov 26, 2020 Record entry Clear entry View general journal Analyze: Compute the net accounts receivable amount that should be reported in the financial statements for the year ended December 31, 2019. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Analyze Compute the net accounts receivable amount that should be reported in the financial statements for the year ended December 31, 2019. Net accounts receivable