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Question 38 (14 points) Please click on Full Screen: Black and Gold Company had a $ 800 credit balance in Allowance for Doubtful Accounts at December 31, 2016, before the current year's provision for uncollectible accounts. An aging of the accounts receivable subsidiary ledger revealed that 4 % of total accounts receivable of $ 155,000 are estimated to be uncollectible at the end of the year. Instructions: (a) Prepare the adjusting entry on December 31, 2016, to recognize bad debts expense. Show calculations. (b) Assume the same facts as above except that the Allowance for Doubtful Accounts account had a $900 debit balance before the current year's provision for uncollectible accounts. Prepare the adjusting entry for the current year's provision for uncollectible accounts. Show calculations (a) Prepare the adjusting entry on December 31, 2016, to recognize bad debts expense. Show calculations. (b) Assume the same facts as above except that the Allowance for Doubtful Accounts account had a $900 debit balance before the current year's provision for uncollectible accounts. Prepare the adjusting entry for the current year's provision for uncollectible accounts. Show calculations Assume that the company has a policy of providing for bad debts at the rate of 1% of sales, that sales for 2010 were $550,000, and that Allowance for Doubtful Accounts had a $650 credit balance before adjustment. Prepare the adjusting entry for the current year's provision for bad debts. (c) (d): What is the net realizable value of the Accounts Receivable at 12/31/16 after making the adjusting entry in part (a) above. Show calculations

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