E7.9 (LO3) (Computing Bad Debts and Preparing Journal Entries) The trial balance before ad- justment of Estefan Inc. shows the following balances. Dr. Cr. Accounts Receivable $80,000 Allowance for Doubtful Accounts 1,750 Sales Revenue (net, all on credit) $580,000 Instructions Give the entry for estimated bad debts assuming that the allowance is to provide for doubtful accounts on the basis of (a) 4% of gross accounts receivable and (b) 5% of gross, accounts receivables and allowance for Doubtful accounts has a $1,700 credit balance.

E7.9 (LO3) (Computing Bad Debts and Preparing Journal Entries) The trial balance before ad- justment of Estefan Inc. shows the following balances. Dr. Cr. Accounts Receivable $80,000 Allowance for Doubtful Accounts 1,750 Sales Revenue (net, all on credit) $580,000 Instructions Give the entry for estimated bad debts assuming that the allowance is to provide for doubtful accounts on the basis of (a) 4% of gross accounts receivable and (b) 5% of gross, accounts receivables and allowance for Doubtful accounts has a $1,700 credit balance.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter16: Accounting For Accounts Receivable

Section: Chapter Questions

Problem 3CP: At the end of 20-3, Martel Co. had 410,000 in Accounts Receivable and a credit balance of 300 in...

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E7-9 (Computing Bad Debts and Preparing Journal Entries) The trial balance before adjustment of Estefan Inc. shows the following balances.InstructionsAccounts ReceivableAllowance for Doubtful Accounts Sales Revenue (all on credit) Sales Returns and AllowancesDr. Cr.$80,000 1,750$580,000Give the entry for estimated bad debts assuming that the allowance is to provide for doubtful accounts on the basis of (a) 4% of gross accounts receivable and (b) 1% of net sales.InstructionsAccounts ReceivableAllowance for Doubtful Accounts Sales Revenue (net, all on credit)
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E7.9 (LO3) (Computing Bad Debts and Preparing Journal Entries) The trial balance before adjustment of Estefan Inc. shows the following balances. Accounts Receivable $80.000 (D) Allowance for Doubtful Accounts $1.750 (D) Sales Revenue (net, all on credit) $580.000 (K) Instructions Give the entry for estimated bad debts assuming that the allowance is to providefor doubtful accounts on the basis of (a) 4% of gross accounts receivable and (b)5% of gross, accounts receivables and allowance for Doubtful accounts has a$1,700 credit balance.
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