At December 31, 2015, Ethan Company reports the following results for its calendar-year Cash sales...
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Accounting
At December 31, 2015, Ethan Company reports the following results for its calendar-year Cash sales Credit sales $ 1,644,530 3,187000 In addition, Its unadjusted trial balance Includes the following Items. Accounts recelvable Allowance for doubtful accounts $965,661 deblt 13,730 deblt There was objective evidence that 11% of a $150,000 debt owed by a debtor, Nathan Company, would most probably be uncollectible. An aging analysis of the rest of the accounts recelvables Indicated that an estimated 7% of these accounts would not be collectible. Required: 1. Prepare the adjusting entry for this company to recognize bad debts.(Round your intermediate calculations and and final answers to the nearest dollar amount. Omit the "S" sign in your response.) responseand final answers to the nearest dollar amount. Omir the General Journal Debit Dec 31 (Click to select) (Click to select) 2. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31, 2015 statement of financial position. (Amounts to be deducted should be indicated with minus sign. Omit the "S" sign in your response.) Current assets: (Click to select) (Click to select)
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