At the beginning of the current period, Engseth Corp. had balances in Accounts R

Question

At the beginning of the current period, Engseth Corp. had balances in Accounts Receivable of $233,400 and in Allowance for Doubtful Accounts of $9,500 (credit). During the period, it had net credit sales of $851,000 and collections of $789,000. It wrote off as uncollectible accounts receivable of $7,500. However, a $3,700 account previously written off as uncollectible was recovered before the end of the current period. Uncollectible accounts are estimated to total $24,400 at the end of the period. (a) Prepare the entries to record sales and collections during the period. (b) Prepare the entry to record the write-off of uncollectible accounts during the period. (c) Prepare the entries to record the recovery of the uncollectible account during the period. (d) Prepare the entry to record bad debts expense for the period.

Explanation / Answer

Hi, Please find the entries as follows: a) Dr Accounts Receivable 851000 Cr Sales 851000 Dr Cash 789000 Cr Accounts Receivable 789000 b) Dr Allowance for Doubtful Accounts 7500 Cr Accounts Receivable 7500 c) Dr Accounts Receivable 3700 Cr Allowance for Doubtful Accounts 3700 Dr Cash 3700 Cr Accounts Receivable 3700 d) Dr Bad Debts Expense 18700 Cr Allowance for Doubtful Debts 18700 Thanks.

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.