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Using the direct write-off method of accounting for uncollectible receivables.
April 1 Sold merchandise on account to Jim Dobbs, $7,200. The cost of the merchandise is $5,400.June 10 Received payment for one-third of the receivable from Jim Dobbs and wrote off the remainder.Oct. 11 Reinstated the account of Jim Dobbs for and received cash in full payment.
Required:
Journalize the above transactions. Refer to the Chart of Accounts for exact wording of account titles.
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