The following balances were gathered from WAP Company's trial balance: Credit sales 2,000,000 Accounts receivable, beg 200,000 Accounts receivable, end 1,200,000 Beginning balance of the allowance for doubtful accounts is P10,000. The company's policy is to recognize doubtful accounts as 2% of credit sales. Determine the amount of bad debt expense that should be recognized for the period.

The following balances were gathered from WAP Company's trial balance: Credit sales 2,000,000 Accounts receivable, beg 200,000 Accounts receivable, end 1,200,000 Beginning balance of the allowance for doubtful accounts is P10,000. The company's policy is to recognize doubtful accounts as 2% of credit sales. Determine the amount of bad debt expense that should be recognized for the period.

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 1CE

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