Journalize entries to record Allowance for doubtful accounts
How would you journalize entries to record allowance for doubtful accounts using two different bases.
The ledger of Elburn company at the end of the current year shows accounts receivalbe $110,000, Sales $840,000 and salaes Revenue and allowances $28,000.
If Elburn uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming Elburn determines that Copp's $1,400 balances is uncollectibel.