Here is information related to Carla Vista Co. for 2022. ...
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Accounting
Here is information related to Carla Vista Co. for 2022.
Total credit sales
$1,575,000
Accounts receivable at December 31
787,500
Bad debts written off
36,800
(a) What amount of bad debt expense will Carla Vista Co. report if it uses the direct write-off method of accounting for bad debts?
Bad debts expense
$enter the bad debts expense in dollars assuming option a
(b) Assume that Carla Vista Co. uses the percentage-of-receivables basis to record bad debt expense and concludes that 4% of accounts receivable will become uncollectible. What amount of bad debt expense will the company record if Allowance for Doubtful Accounts has a credit balance of $3,300?
Bad debts expense
$enter the bad debts expense in dollars assuming option b
(c) Assume the same facts as in (b), except that there is a $900 debit balance in Allowance for Doubtful Accounts. What amount of bad debt expense will Carla Vista record?
Bad debts expense
$enter the bad debts expense in dollars assuming option c
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