Hinson 8-4 Uncollectible Accounts

Hinson 8-4 Uncollectible Accounts - Write-off of accounts...

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Intermediate Accounting I Assignment 8-4 Uncollectible Accounts – Percentage of Sales Method Jamie Hinson February 27, 2008 Exercise 7-6 Bad debt expense (4,500,000 X 1.5%)……………………………………. .$67,500 Allowance for uncollectible accounts……………………………………….67,500 Monthly accrual of 1.5% of credit sales Allowance for uncollectible accounts……………………………………. .$40,000 Accounts receivable…………………………………………………………40,000
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Unformatted text preview: Write-off of accounts receivable as they are determined uncollectible Bad debt expense. .$2,000* Allowance for uncollectible accounts2,000* Year-end adjusting entry for bad debts *Required allowance of $42,000 less $40,000 already in allowance account....
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This note was uploaded on 09/08/2010 for the course ACCOUNTING 320 taught by Professor Hickman during the Spring '10 term at Heidelberg.

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