Kirchhoff industries has computed that the proper balance for the allowance for doubtful accounts at august 31 is $67,937. assume that the allowance for doubtful accounts for kirchhoff industries has a credit balance of $14,265 before adjustment on august 31. journalize the adjusting entry for uncollectible accounts as of august 31.

Explanation:

The journal entry to record the bad debt expense is shown below:

Bad debt expense A/c Dr  $4,698

              To Allowance for doubtful debts $4,698

(Being bad debt expense is recorded)

The computation of the bad debt expense is shown below:

= Allowance for Doubtful Accounts -  credit balance of Allowance for Doubtful Accounts)

= $67,937 - $14,265

= $53,672

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