Question

Prepare journal entries for each transaction:

on sept.29 of the current year, an account recievable for 3,400 from match of the current year was determined to be uncollrctible and was written off.
the appropriaye bad debt expense adjustment was recorded for current year.
during the curreny year. Witz electric , incorporated, recorded credit sales of 720,000. based on prior experience, itx estimatex a 2 precent bad debt rate on credit sales.
prepare journal entries for each transaction:
1. on september 29 of current year, an account recievable for $3,400 from march of the currentbyear was determined to be uncollectible and was written off.
2. the appropiate bad debt expense adjustment was recorded for the current year.

Answer 1

The journal entries for the specified transactions involving accounts receivable and bad debt expense are provided.

Step-by-step explanation:

1. On September 29 of the current year, an account receivable for $3,400 from March of the current year was determined to be uncollectible and was written off. The journal entry for this transaction will be:

Accounts Receivable → Allowance for Doubtful Accounts

2. The appropriate bad debt expense adjustment was recorded for the current year. The journal entry for this transaction will be:

Bad Debt Expense → Allowance for Doubtful Accounts