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Your answer is partially correct. Try again. The ledger of Tamarisk, Inc. at the end of the current year shows Accounts Receivable $80,600; Credit Sales
Your answer is partially correct. Try again. | |
The ledger of Tamarisk, Inc. at the end of the current year shows Accounts Receivable $80,600; Credit Sales $739,810; and Sales Returns and Allowances $38,600.
(a) | If Tamarisk, Inc. uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming Tamarisk, Inc. determines that Matisses $957 balance is uncollectible. | |
(b) | If Allowance for Doubtful Accounts has a credit balance of $1,170 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 10% of accounts receivable. | |
(c) | If Allowance for Doubtful Accounts has a debit balance of $470 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 8% of accounts receivable. |
(Credit account titles are automatically indented when amount is entered. Do not indent manually.)
No. | Account Titles and Explanation | Debit | Credit |
(a) | |||
(b) | |||
(c) | |||
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