Johnson Company calculates its allowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. Theallowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accountsreceivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording theadjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400Required:1. What was the balance in gross accounts receivable as of 12/31/2020?2. What journal entry should Johnson record to recognize bad debt expense for 2021?3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount ofaccounts receivable written off during 2021.4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?Required 1Required 2Required 3Required 4What was the balance in gross accounts receivable as of 12/31/2020?Balance in gross accounts receiva ble1Record the entry to recognize bad debt expense for 2021Note: Enter debits before credits.General JournalYearDebitCredit2021Record entryView general journalClear entryRequired 1Required 3 Johnson Company calculates its alllowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. Theallowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accountsreceivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording theadjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400Required:1. What was the balance in gross accounts receivable as of 12/31/2020?2. What journal entry should Johnson record to recognize bad debt expense for 2021?3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount ofaccounts receivable written off during 2021.4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?Required 1Required 2Required 3Required 4Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount ofaccounts receivable written off during 2021Amount of accounts receivable written offRequired 2Required 4Johnson Company calculates its allowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. Theallowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accountsreceivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording theadjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400.Required:1. What was the balance in gross accounts receivable as of 12/31/2020?2. What journal entry should Johnson record to recognize bad debt expense for 2021?3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount ofaccounts receivable written off during 2021.4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?Required 3Required 1Required 2Required 4If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?Bad debt expense for 2021Required 3Required 4

Question
Asked Nov 15, 2019
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Johnson Company calculates its allowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. The
allowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accounts
receivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording the
adjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400
Required:
1. What was the balance in gross accounts receivable as of 12/31/2020?
2. What journal entry should Johnson record to recognize bad debt expense for 2021?
3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of
accounts receivable written off during 2021.
4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?
Required 1
Required 2
Required 3
Required 4
What was the balance in gross accounts receivable as of 12/31/2020?
Balance in gross accounts receiva ble
<Required 1
Required 2
Required:
1. What was the balance in gross accounts receivable as of 12/31/2020?
2. What journal entry should Johnson record to recognize bad debt expense for 2021?
3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of
accounts receivable written off during 2021.
4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?
Required 1
Required 2
Required 3
Required 4
What journal entry should Johnson record to recognize bad debt expense for 2021? (If no entry is required for a transaction/event,
select "No journal entry required" in the first account field.)
View transaction list
Journal entry worksheet
>
1
Record the entry to recognize bad debt expense for 2021
Note: Enter debits before credits.
General Journal
Year
Debit
Credit
2021
Record entry
View general journal
Clear entry
Required 1
Required 3
help_outline

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Johnson Company calculates its allowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. The allowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accounts receivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording the adjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400 Required: 1. What was the balance in gross accounts receivable as of 12/31/2020? 2. What journal entry should Johnson record to recognize bad debt expense for 2021? 3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of accounts receivable written off during 2021. 4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021? Required 1 Required 2 Required 3 Required 4 What was the balance in gross accounts receivable as of 12/31/2020? Balance in gross accounts receiva ble <Required 1 Required 2 Required: 1. What was the balance in gross accounts receivable as of 12/31/2020? 2. What journal entry should Johnson record to recognize bad debt expense for 2021? 3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of accounts receivable written off during 2021. 4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021? Required 1 Required 2 Required 3 Required 4 What journal entry should Johnson record to recognize bad debt expense for 2021? (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet > 1 Record the entry to recognize bad debt expense for 2021 Note: Enter debits before credits. General Journal Year Debit Credit 2021 Record entry View general journal Clear entry Required 1 Required 3

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Johnson Company calculates its alllowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. The
allowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accounts
receivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording the
adjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400
Required:
1. What was the balance in gross accounts receivable as of 12/31/2020?
2. What journal entry should Johnson record to recognize bad debt expense for 2021?
3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of
accounts receivable written off during 2021.
4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?
Required 1
Required 2
Required 3
Required 4
Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of
accounts receivable written off during 2021
Amount of accounts receivable written off
Required 2
Required 4
Johnson Company calculates its allowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. The
allowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accounts
receivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording the
adjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400.
Required:
1. What was the balance in gross accounts receivable as of 12/31/2020?
2. What journal entry should Johnson record to recognize bad debt expense for 2021?
3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of
accounts receivable written off during 2021.
4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?
Required 3
Required 1
Required 2
Required 4
If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?
Bad debt expense for 2021
Required 3
Required 4
help_outline

Image Transcriptionclose

Johnson Company calculates its alllowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. The allowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accounts receivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording the adjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400 Required: 1. What was the balance in gross accounts receivable as of 12/31/2020? 2. What journal entry should Johnson record to recognize bad debt expense for 2021? 3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of accounts receivable written off during 2021. 4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021? Required 1 Required 2 Required 3 Required 4 Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of accounts receivable written off during 2021 Amount of accounts receivable written off Required 2 Required 4 Johnson Company calculates its allowance for uncollectible accounts as 20% of its ending balance in gross accounts receivable. The allowance for uncollectible accounts had a credit balance of $21,000 at the beginning of 2021. No previously written-off accounts receivable were reinstated during 2021. At 12/31/2021, gross accounts receivable totaled $350,200, and prior to recording the adjusting entry to recognize bad debts expense for 2021, the allowance for uncollectible accounts had a debit balance of 38,400. Required: 1. What was the balance in gross accounts receivable as of 12/31/2020? 2. What journal entry should Johnson record to recognize bad debt expense for 2021? 3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of accounts receivable written off during 2021. 4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021? Required 3 Required 1 Required 2 Required 4 If Johnson instead used the direct write-off method, what would bad debt expense be for 2021? Bad debt expense for 2021 Required 3 Required 4

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Expert Answer

Step 1

1) The balance in gross accounts receivable is $105,000.

Compute the balance in gross accounts receivable:
Allowance for uncollectible accounts at the beginning
Balance in gross
=
Accounts receivable
Allowance for uncoll ectible accounts %
$21,000
20%
= $105,000
help_outline

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Compute the balance in gross accounts receivable: Allowance for uncollectible accounts at the beginning Balance in gross = Accounts receivable Allowance for uncoll ectible accounts % $21,000 20% = $105,000

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Step 2

2) Journalize the entry to record the bad debt expense:

Debit (S) Credit (S)
Date
Accounting Title and Explanation
December Bad Debt Expense
31, 2021
$108,440
Allowance for Uncollectible Accounts
$108,440
(To record the bad debt expense balance)
Compute the bad debts:
Bad Debts
Allowance for uncollectible accounts on December 31, 2021 credit balance+
Expense
Allowance for uncollectible accounts on December 31, 2021 debit balance
= ($350, 200x 20%) + $38, 400
-S70,040+$38, 400
$108, 440
help_outline

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Debit (S) Credit (S) Date Accounting Title and Explanation December Bad Debt Expense 31, 2021 $108,440 Allowance for Uncollectible Accounts $108,440 (To record the bad debt expense balance) Compute the bad debts: Bad Debts Allowance for uncollectible accounts on December 31, 2021 credit balance+ Expense Allowance for uncollectible accounts on December 31, 2021 debit balance = ($350, 200x 20%) + $38, 400 -S70,040+$38, 400 $108, 440

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Step 3

3) The accounts receivable written off in 2021 i...

Compute the accounts receivable written off in 2021:
Accounts receivable
(Allowance for uncollectible accounts on December 31, 2021 credit balance
written off
+ Allowance for uncollectible accounts at beginning credit balance
-$38,400+ $21, 000
-S59,400
help_outline

Image Transcriptionclose

Compute the accounts receivable written off in 2021: Accounts receivable (Allowance for uncollectible accounts on December 31, 2021 credit balance written off + Allowance for uncollectible accounts at beginning credit balance -$38,400+ $21, 000 -S59,400

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