Solution 1:
Gross accounts receivable 12/31/2020= $16000/ 15% = $106,667
Solution b:
Accounts Title | Debit | Credit |
Bad Debt Expense (266700*15%+29300) | 69305 | |
Allowance for Uncollectible accounts | 69305 |
Solution c:
Accounts written off = $16000 - (- $29300) = $45,300
Solution d:
bad debt expense direct method = $45,300
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