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Business, 15.04.2020 16:09 odelancy14
At each calendar year-end, Mazie Supply Co. uses the percent of accounts receivable method to estimate bad debts. On December 31, it has outstanding accounts receivable of $113,500, and it estimates that 6% will be uncollectible. Prepare the adjusting entry to record bad debts expense for the year ended December 31 under the assumption that the Allowance for Doubtful Accounts has: (a) a $1,930 credit balance before the adjustment. (b) a $568 debit balance before the adjustment.
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At each calendar year-end, Mazie Supply Co. uses the percent of accounts receivable method to estima...
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