52
Chapter 2
Accounting for Receivables
Required
a) Calculate the required allowance for doubtful accounts.
Aging category
Bad Debt % Balance Allowance for
Doubtful Accounts
b) Prepare the journal entry on December 31, 2016 to record bad debt expense assuming the
allowance account has a $3,700 credit balance.
Date
Account Title and Explanation
Debit
Credit
c) Prepare the journal entry on December 31, 2016 to record bad debt expense assuming the
allowance account has a $10,000 credit balance.
Date
Account Title and Explanation
Debit
Credit
d) Prepare the journal entry to record bad debt expense assuming the allowance account has
a $2,000 debit balance.
Date
Account Title and Explanation
Debit
Credit
