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At year-end. December 31, 2020. Corolla Sales showed unadjusted balances of $395,000 In Accounts Receivable; $14,200 debit In Allowance for Doubtful Accounts; and $1,996,000 In Sales. Uncollectible accounts are estimated to be 25% of sales.
Required-.
Problem 1: Prepare the 2020, 2021 and 2022 year-end adjusting entries to estimate uncollectible account.
Journalize the following merchandising transactions for Chilton Systems. The company uses a periodic inventory system
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