Spotted Singer Ltd. sells karaoke machines to businesses and consumers via the Internet. On December 31, 2021, Spotted Singer has an accounts receivable balance of $997,000 and a credit balance in its allowance for doubtful accounts of $24,000. During 2022, Spotted Singer had $2,500,000 of credit sales, collected $1,725,000 of accounts receivable, and had customer defaults of $45,000. At year-end, an aging analysis indicates that $28,000 of Spotted Singer's receivables will be uncollectible. Required: 1. Calculate Spotted Singer's balance in accounts receivable on December 31, 2022, prior to the adjustment. $ 2. Calculate Spotted Singer's balance in allowance for doubtful accounts on December 31,2022 , prior to the adjustment. $ 3. Prepare the necessary adjusting entry for 2022
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Spotted Singer Ltd. sells karaoke machines to businesses and consumers via the Internet. On December 31, 2021, Spotted Singer has an accounts receivable balance of $997,000 and a credit balance in its allowance for doubtful accounts of $24,000. During 2022, Spotted Singer had $2,500,000 of credit sales, collected $1,725,000 of accounts receivable, and had customer defaults of $45,000. At year-end, an aging analysis indicates that $28,000 of Spotted Singer's receivables will be uncollectible. Required: 1. Calculate Spotted Singer's balance in accounts receivable on December 31, 2022, prior to the adjustment. $ 2. Calculate Spotted Singer's balance in allowance for doubtful accounts on December 31,2022 , prior to the adjustment. $ 3. Prepare the necessary adjusting entry for 2022
