A company used the percent of sales method to determine its bad debts expense. At...
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A company used the percent of sales method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts: Accounts receivable Allowance for Doubtful Accounts Net Sales $ 438,000 Debit 1,280 Debit 2,130,000 Credit All sales are made on credit. Based on past experience, the company estimates 1.0% of its net sales to be uncollectible. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?
A company used the percent of sales method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts: All sales are made on credit. Based on past experience, the company estimates 1.0% of ts net sales to be uncollectible. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense
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