Question

1. Open T-accounts for Accounts Receivable and Allowance for Bad Debts. Journalize the transactions (omit explanations) and post to the two accounts. Show how Mountain Terrace Medical Center should report net accounts receivable on its December 31, 2018, balance sheet. 3.

Answer 1

А В 1 Date Particulars 2 28-Dec Allowance for uncollectible accounts Accounts receivable Raja Co. Accounts receivable Redd Accounts receivable Parket, Inc. с D Debit ($) Credit ($) | 2700 1200 1100 400 m = morao 6609 6609 Dec-31 Uncollectible account expense Allowance for uncollectible accounts 9 10 Ending credit balance 11 1-30 days 95000*0.3% 12 31-60 37000*3% 13 61-90 16000*30% 14 Over 90 4040*35% 15 Ending credit balance 16 17 Beginning balance Dec 28 entry Adjusted amount Ending balance 285 1110 4800 1414 7609 ance 3700 -2700 6609 7609

22 1) T-Accounts | 23 Allowance for uncollectible accounts 24 2700) 25 3700 6609 7609 26 Balance 27 28 2) 29 30 31 Mountain Terrace Medical Center Balance sheet (partial) 31-Dec-18 Accounts receivable 152040 Less: Allowance for uncollectible accounl -7609 Accounts receivable, net 144431 32 33 34