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    julie_iatrou's Avatar
    julie_iatrou Posts: 1, Reputation: 1
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    #1

    Nov 21, 2009, 06:46 PM
    Bad debt expense
    On January 1, 2009, the Union Trading Company had outstanding receivables of $800,000 and allowance for doubtful accounts of $ 19,000.
    During the period 1/1 to 6/30, 2009, the firm made $1,500,000 of credit sales, wrote off $22,000 of receivables as uncollectible, and collected $1,200,000 in cash from credit customers.
    On 6/30, the company estimated uncollectible accounts to be 2% of outstanding receivables.
    Required:
    A. Calculate the bad debt expense for this period.
    B. Make necessary journal from 1/1 to the adjusting of the receivables on 6/30.
    C. Show the ledger accounts: Accounts receivable and Allowance for doubtful accounts
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
    Uber Member
    		  
    #2

    Nov 22, 2009, 04:28 PM

    Please see the guidelines for posting homework problems:
    https://www.askmehelpdesk.com/financ...-b-u-font.html
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