By the end of 201 cash collections on these accounts to $100 0 Pave estimates 30
ID: 341800 • Letter: B
Question
By the end of 201 cash collections on these accounts to $100 0 Pave estimates 30% of the uncollected During 2018, its st year o operations, Pave Construction provides services on account of $140 000 accounts will be bad debts. a Required: 1. Record the adjustment for uncollectible accounts on December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list ournal entry worksheet Record the adjustment entry for Uncollectible Accounts. Note: Enter debits before credits. Date General Journal DebitCredit December 31, 2018 Record entry Clear entry View general journalExplanation / Answer
Answer:
First of all we need to find out the adjusted amount of uncollectable account as of Dec-31,2018
adjusted amount of uncollectable account
=(140,000-100,000) x 30%
=40,000 x30 %
=$12000
Date
Description
Debit $
Credit$
31-Dec
Bad debt Expanses
12000
2018
Allowance for doubtful accounts
12000
(to record the bad debt expanses)
_______________________________
Total accounts receivable
40,000
Less:
Allowance for uncollectible accounts
-12000
Net realizable value
28,000
Date
Description
Debit $
Credit$
31-Dec
Bad debt Expanses
12000
2018
Allowance for doubtful accounts
12000
(to record the bad debt expanses)
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