The trial balance before adjustment of Sage Hill Inc. shows the following balances: Cr. Dr....
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Accounting
The trial balance before adjustment of Sage Hill Inc. shows the following balances: Cr. Dr. $105,200 1,955 Accounts receivable Allowance for doubtful accounts Sales revenue (all on credit) Sales returns and allowances $656,500 30,000 Give the entry for bad debt expense for the current year assuming the allowance should be 5% of gross accounts receivable. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit Give the entry for bad debt expense for the current year assuming historical records show that, based on accounts receivable aging, the following percentages will not be collected: (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts.) Percentage Estimated to Be Uncollectible 1% 0-30 days outstanding 31-60 days outstanding 61-90 days outstanding Over 90 days outstanding Balance $34.500 47,800 13,800 9,100 5% 12% 18% Account Titles and Explanation Debit Credit
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