Sanders Inc. is a small brick manufacturer that uses the direct write-off method to account for...

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Sanders Inc. is a small brick manufacturer that uses the direct write-off method to account for uncollectible accounts. At th

business accounting

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Answer 1

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1.

Date	General Journal	Debit	Credit
December 31, 2018	No Journal entry required

2.

Date	General Journal	Debit	Credit
December 31, 2019	Bad debt expense	$2,200
	Accounts receivable		$2,200
	( To record bad debt expense)

Under the direct write off method, no journal entry is made for estimated uncollectible accounts. Entry is made at the time of the actual bad debt taking place. Hence, No journal entry will be made on December 31, 2018.

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