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A company has the following unadjusted account balances at...

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Accounting

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A company has the following unadjusted account balances at December 31,2015 . Accounts Receivable of $185,600 and Allowance for Doubtful Accounts of $1,600 (credit balance). This company uses the aging of accounts receivable to estimate its bad debts. The following aging schedule reflects its accounts receivable at the current year-end: Required: a) Calculate the amount of the Allowance for Doubtful Accounts that should appear on the December 31, 2015 balance sheet. (2 marks) b) Prepare the adjusting journal entry to record bad debts expense for the current year December 31, 2015. (3 marks) c) Prepare the adjusting journal entry to record bad debts expense for the current year (December 31, 2015), assuming that the balance in the Allowance for Doubtful Accounts was $1,600 (debit balance). (4 marks) d) Assume that the receivable of a customer, M. Hart, for $3,200 became specifically uncollectible in the following year (2016). Prepare the necessary journal entry/entries. (2 marks) e) Assume that subsequently, M. Hart paid off $2,500 of the balance that was previously written off. Prepare the necessary journal entrylentries. (4 marks)

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