Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the first amount is wrong. what is the correct amo

The first amount is wrong. What is the correct amount? On...

70.2K

Verified Solution

Question

Accounting

The first amount is wrong. What is the correct amount? image
On December 31, 2016, when its Allowance for Doubtful Accounts had a credit balance of $1,500, Leeds Company estimates that 6% of its accounts receivable balance of $95,000 will become uncollectible. On March 3, 2017, Leeds Company determined that Megan Jost's account of $950 was uncollectible. On May 15, 2017, Jost paid the amount previously written off Prepare the journal entries for December 31, 2016, March 3, 2017 and May 15, 2017. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Dec. 31, 2016 Bad Debt Expense 3250 Allowance for Doubtful Accounts 3250 Mar. 3, 2017 Allowance for Doubtful Accounts 950 Accounts Receivable 950 May 15 Accounts Receivable 950 Allowance for Doubtful Accounts 950 (To reinstate an account previously written off) May 15 Cash 950 Accounts Receivable 950 (To record payment on account in full)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students