When using the aging of accounts receivable method

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Reference no: EM131204063

Account Receivable: $21,456 debit balance; Net credit sales: $35,000; Estimated rate of uncollectible accounts: 3%; Allowance for doubtful accounts: $185 credit beginning balance; An aging of the accounts receivable reveals that an estimated $1,500 will be uncollectible.

Required:

a) Record the journal entries bad debt expense using the percentage of credit sales and aging of accounts receivable methods.

b) What amount of account receivable (net) is shown on the balance sheet when using the percentage of credit sales method? When using the aging of accounts receivable method?

Reference no: EM131204063

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When using the aging of accounts receivable method : Account Receivable: $21,456 debit balance; Net credit sales: $35,000; Estimated rate of uncollectible accounts: 3%; Allowance for doubtful accounts: $185 credit beginning balance; What amount of account receivable (net) is shown on the balance sheet ..

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