[The following information applies to the questions displayed below.] At December 31, 2018, Hawke Company...
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[The following information applies to the questions displayed below.] At December 31, 2018, Hawke Company reports the following results for its calendar year.
Required information (The following information applies to the questions displayed below.] At December 31, 2018, Hawke Company reports the following results for its calendar year. Cash sales Credit sales $1,478,710 3,022,000 In addition, its unadjusted trial balance includes the following items. Accounts receivable Allowance for doubtful accounts $915,666 debit 20,920 debit Required: 1. Prepare the adjusting entry for this company to recognize bad debts under each of the following independent assumptions. a. Bad debts are estimated to be 3% of credit sales. (Round your final answers to the nearest whole dollar.) b. Bad debts are estimated to be 2% of total sales. c. An aging analysis estimates that 6% of year-end accounts receivable are uncollectible. (Round your final answers to the nearest whole dollar.) Adjusting entries (all dated December 31, 2018). View transaction list Journal entry worksheet
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