Direct Write-Off MethodJournalize the following transactions, using the direct write-off method of accounting for uncollectible receivables:Oct. 2:  Received $3,150 from William Pruitt and wrote off the remainder owed of $2,680 as uncollectible. If an amount box does not require an entry, leave it blank.Oct. 2           Dec. 20:  Reinstated the account of William Pruitt and received $2,680 cash in full payment.Dec. 20-Reinstate       Dec. 20-Collection

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Asked Oct 3, 2019
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Direct Write-Off Method

Journalize the following transactions, using the direct write-off method of accounting for uncollectible receivables:

Oct. 2:  Received $3,150 from William Pruitt and wrote off the remainder owed of $2,680 as uncollectible. If an amount box does not require an entry, leave it blank.

Oct. 2      
       
       

Dec. 20:  Reinstated the account of William Pruitt and received $2,680 cash in full payment.

Dec. 20-Reinstate      
       
Dec. 20-Collection      
       
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Expert Answer

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Allowance method of accounting for uncollectible accounts: This is the accounting method used to estimate the uncollectible receivables, and recognize...

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