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Freeman Corporation estimates uncollectible accounts using a percentage of outstanding accounts receivable. After the year-enOn June 11, Nathan, Inc. accepted a $8,000, 7%, 60-day note from a customer. On June 26, the company discounted the note at tPlease show your work and thank you for your help!

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Answer #1

Bad debt expense = accounts receivable*bad debt percentage - (Allowance for uncollectible accounts at January 1 - Accounts written off)

= $100000*1.5% -(1700-1600)

= $1400

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