Question

Stephanie Stouse is an attorney in Los Angeles. Stouse uses the direct write-off method to account for uncollectible receivables. At April 30, 2018, Stouse's accounts receivable totaled $20,000. During May, she earned revenue of $21,000 on account and collected $18,000 on account. She also wrote off uncollectible receivables of $1,050 on May 31, 2018 Read the requirements Requirement 1. Use the direct write-off method to journalize Stouse's write-off of the uncollectible receivables. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Accounts and Explanation Date Debit Credit May 31 i Requirements 1. Use the direct write-off method to journalize Stouse's write-off of the uncollectible receivables What is Stouse's balance of Accounts Receivable at May 31, 2018? 2. Requirement 2. What is Stouse's balance of Accounts Receivable at May 31, 2018? Start by selecting the labels and then enter the amounts to calculate the balance in Accounts Receivable at May 31, 2018. Print Done Accounts Receivable

Answer 1

Journal entry

Date	account and explanation	Debit	Credit
May 31	Bad debt expense	1050
	Account receivable		1050

T account

Account receivable
Beg Bal	20000	Cash	18000
Sales revenue	21000	Bad debt expense	1050
End bal	21950