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Sunland Company uses the allowance method to estimate uncollectible accounts receivable. The company produced the...

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Accounting

Sunland Company uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end.

Calculate the total estimated bad debts based on the below information.

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(b)

Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined in (a). Assume the current balance in Allowance for Doubtful Accounts is an $ 7,800 debit.
(c) Of the above accounts, $ 4,500 is determined to be specifically uncollectible. Prepare the journal entry to write off the uncollectible account.
(d)

The company collects $ 4,500 subsequently on a specific account that had previously been determined to be uncollectible in (c). Prepare the journal entry(ies) necessary to restore the account and record the cash collection.

image
Total 0-30 77,000 2% 31-60 45,800 5% Accounts receivable 200,900 uncollectible Estimated bad debts

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