Need help with accounting homework question ASAP! 2. Show how the amounts related to Accounts Recelvable and Bad Debt Expense would be reported on the balance sheet and Incomestatement for 2020. (Amounts to be deducted should be Indiceted by a minus slgn.)Partial Income statement for 2020Operating expenses:Bad debt expensePartial Balance sheet for 2020Current assets:Accounts receivableAdd: Allowance for doubtiul accounts3-a. On the basis of the data avallable, does the 2 percent rate appear to be reasonable?O YesO No During the year ended December 31, 2020, Kelly's Camera Equipment had sales revenue of S170.000, of which $85.000 was oncredit. At the start of 2020, Accounts Recelvable showed a S10,000 deoit balace; and the Allowance for Doubtful Accounts showedan $800 credt balance. Collections of accounts recetvable during 2020 amounted to S68,000.Use the following data for 2020 to answer the questlons:a. On December 10, 2020, a customer balance of $1,500 from a prtor year was determined to be uncollectible, so It was written off.b. On December 31, 2020, a declsion was made to continue the accounting policy of basing estimated bad debt losses on 2 percentof credit sales for the year.Required:1. Prepare the required Journhal entries for the two events in December 2020 (If no erntry Is required for a transoatlon/event, select"No Journal entry requlred" In the first occount fleld.)View transaction listView journal entry worksheetNoDateGeneral JournalDebitCredit1.Dec. 10, 2020Sales returns and allowances1,500Accounts receivable1,60021Dec. 31, 2020Bad debt expense1.700Allowance for doubtful accounts1,700.

Bad debts expense = Credit sales x 2% 85000*2% = $1,700

During the year ended December 31, 2020, Kelly's Camera Equlpment had sales revenue of $170,000, of which $85,000 was on credit. At the start of 2020, Accounts Recelvable showed a $10,000 debit balance, and the Allowance for Doubtful Accounts showed an $800 credit balance. Collections of accounts recelvable during 2020 amounted to $68,000. Use the following data for 2020 to answer the questions: a. On December 10, 2020, a customer balance of $1.500 from a prlor year was determined to be uncollectible, so It was written off. b. On December 31, 2020, a declsion was made to contlnue the accounting policy of basing estimated bad debt losses on 2 percent of credit sales for the year. Requlred: 1. Prepare the required Journal entries for the two events In December 2020. (If no entry Is requlred for a transaction/event, select "No Journal entry requlred" In the first account fleld.) View transaction list View journal entry worksheet No Date General Journal Debit Credit Dec. 10, 2020 Sales returns and allowances 1,500 Accounts receivable 1,500 Dec. 31, 2020 Bad debt expense 1,700 Allowance for doubtful accounts 1.700

During the year ended December 31, 2020, Kelly's Camera Equlpment had sales revenue of $170,000, of which $85,000 was on credit. At the start of 2020, Accounts Recelvable showed a $10,000 debit balance, and the Allowance for Doubtful Accounts showed an $800 credit balance. Collections of accounts recelvable during 2020 amounted to $68,000. Use the following data for 2020 to answer the questions: a. On December 10, 2020, a customer balance of $1.500 from a prlor year was determined to be uncollectible, so It was written off. b. On December 31, 2020, a declsion was made to contlnue the accounting policy of basing estimated bad debt losses on 2 percent of credit sales for the year. Requlred: 1. Prepare the required Journal entries for the two events In December 2020. (If no entry Is requlred for a transaction/event, select "No Journal entry requlred" In the first account fleld.) View transaction list View journal entry worksheet No Date General Journal Debit Credit Dec. 10, 2020 Sales returns and allowances 1,500 Accounts receivable 1,500 Dec. 31, 2020 Bad debt expense 1,700 Allowance for doubtful accounts 1.700

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 12E: Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120...

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