1. Lawson's Lumber began business in 2021. Lawson's uses the percentage of accounts receivable method...
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1. Lawson's Lumber began business in 2021. Lawson's uses the percentage of accounts receivable method to estimate bad debt expense and allowance for doubtful accounts. The balance in accounts receivable on December 31, 2021, is $700,000. Lawson's estimates 5% are uncollectible. On April 10, 2022, Lawson's writes off Jones Company's $42,000, accounts receivable that was outstanding on December 31, 2021. This was the only write-off of 2021 accounts receivables. On December 31, 2022, Lawson's has a balance of $800,000, in accounts receivable. Lawson's estimates, 6% uncollectible. Required: Prepare the appropriate journal entries and post them to the ledger
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