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record the adjusting entry for bad debts as of February 28 using 1 percent of credit sales

Journal entry worksheet 1 2 3 4 7 8 Record the adjusting entry for bad debts as of February 28 using 1 pyrcent of credit sales. Note: Enter debits before credits. [The following information applles to the questions displayed below.] Web Wizard, incorporated, has provided information technology services for several years. For the first two months of the current year, the company has used the percentage of credit sales method to estimate bad debts. At the end of the first quarter, the company switched to the aging of accounts receivable method. The company entered into the following partial list of transactions during the first quarter. a. During January, the company provided services for $48,000 on credit. b. On January 3t, the company estimated bad debts using 1 percent of credit saies. c. On February 4 , the company collected $24,000 of accounts recelvable. d. On February 15, the compeny wrote off $200 account recelvable. e. During February, the company provided services for $38,000 on credit. 1. On February 28, the company estimated bad debts using 1 perfent of credit sales. 9. On March 1, the company loaned $2,800 to an employee, who signed a 68 note, due in 6 months. h. On March 15 , the company collected $200 on the account written off one month earlier. COn March 31, the company accrued interest earned on the note. 1. On March 31, the company odjusted for uncollectible accounts, based on the foliowing aging analysis, which includes the preceding transactions (as well as others not listed). Prior to the adjustment. Allowance for Doubtfut Accounts has an unadjusted credit balance of $1,280. 3. Show how Accounts Receivable, Notes Receivable, and their related accounts would be reported in the current assets section of a classified balance sheet at the end of the quarter on March 31 (Do not round intermediate calculations.)

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