At the end of the current year, the accounts receivable account has a debit balance of $666,000 and sales for the year total $7,550,000. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the following assumptions:
a. The allowance account before adjustment has a credit balance of $9,000. Bad debt expense is estimated at 3/4 of 1% of sales.
b. The allowance account before adjustment has a credit balance of $11,800. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $37,800.
c. The allowance account before adjustment has a debit balance of $7,200. Bad debt expense is estimated at 3/4 of 1% of net sales.
d. The allowance account before adjustment has a debit balance of $7,200. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $59,800.
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At the end of the current year, the accounts receivable account has a debit balance of $666,000 and...
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