The trial balance before adjustment of Pearl Inc. shows the following balances. Dr. Cr....
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Accounting
The trial balance before adjustment of Pearl Inc. shows the following balances.
Dr. Cr. Accounts Receivable $85,300 Allowance for Doubtful Accounts 2,830 Sales Revenue (all on credit) $608,700
Give the entry for estimated bad debts assuming that the allowance is to provide for doubtful accounts on the basis of (a) 4% of gross accounts receivable and (b) 5% of gross accounts receivable and Allowance for Doubtful Accounts has a $1,601 credit balance
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