8% of the outstanding receivables will be uncollectible. Assignment/takeAssignme

Question

8% of the outstanding receivables will be uncollectible.

Assignment/takeAssignmentMain.do?inprogress-true Calculator Tanning Company analyzes its receivables to estimate bad debt expense. The accounts receivable balance is $254,000 and credit sales are $1,000 be uncollectible. What adjusting entry will Tanning Company make if Allowance for Doubtful Accounts has a credit balance of $3,000 before adjust Bad Debt Expense $16,320 Allowance for Doubtful Accounts $16,320 Bad Debt Expense Bad Debt Expense Bad Debt Expense $16,820 Allowance for Doubtful Accounts $16,820 $18,320 Allowance for Doubtful Accounts $18,320 $17,320 Allowance for Doubtful Accounts $17,320

Explanation / Answer

Adjusting entry :

so answer is d)

Date accounts & explanation debit credit Bad debt expense (254000*8%-3000) 17320 Allowance for doubtful accounts 17320

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