HI All,

I am confused on closing entries completely. I am clearly totally new to accounting so here is my question.

I have a bad debt expense of 2% of 100K. I have to record this in my general ledger so I do the following

Bad debt expense Debit - 2,000
Allowance for Doubtful Accounts Credit - 2,000

Now I have to make the closing entry. I assume it is like this? I am not sure any help very much appreciated.

Bad Debt Expense Credit - 2,000

Is that correct?

Thanks you

The closing Debit enty will be to the Income Summary Account.

The closing entry there is just like this:
Income summary 2000-dr.
Bad debts expense 2000-cr.