Gomez Corp. uses the allowance method to account for uncollectibles. On January 31, it wrote off a
$800 account of a customer, C. Green. On March 9, it receives a $300 payment from Green.
1. Prepare the journal entry for January 31.
2. Prepare the entries for March 9; assume no additional money is expected from Green.
Warner Company's year-end unadjusted trial balance shows accounts receivable of $99,000,
allowance for doubtful accounts of $600 (credit), and sales of $280,000. Uncollectibles are estimated to
be 0.5% of sales.
Prepare tl1e December 31 year-end adjusting entry for uncollectibles.
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