Ask Question
28 October, 23:01

An aging of a company's accounts receivable indicates that $8500 are estimated to be uncollectible. If Allowance for Doubtful Accounts has a $2700 credit balance, the adjustment to record bad debts for the period will require a debit to Allowance for Doubtful Accounts for $5800. debit to Bad Debt Expense for $8500. debit to Bad Debt Expense for $5800. credit to Allowance for Doubtful Accounts for $8500.

+4
Answers (1)
  1. 28 October, 23:25
    0
    debit to Bad Debt Expense for $5800

    Explanation:

    Accounts receivable estimated as uncollectible = $8500

    Allowance for Doubtful Accounts = $2700

    Additional allowance for Doubtful debts required = $8500 - $2700

    = $5800

    The adjustment to record bad debts for the period will be

    Debit Bad debt expense $5800

    Credit Allowance for Doubtful Accounts $5800

    The right option is debit to Bad Debt Expense for $5800
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “An aging of a company's accounts receivable indicates that $8500 are estimated to be uncollectible. If Allowance for Doubtful Accounts has ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers