Question

If the Allowance account had a credit balance of $29,500 immediately before the year-end adjustment for bad debts and no accounts were written-off or allowed for during the year, what was the amount of Bad Debt Expense recognized during the year

Answer 1

Bad Debt expense recognized during the year = $39000

Step-by-step explanation:

Note: A table is missing and it is attached as picture

Allowance for Doubtful Accounts

Debit Credit

Balance before year-end adjustment $29,000

Current Yr. Bad debt recognized $39,000

Closing Balance as per balance sheet $68,000

Total Balance $68,000 $68,000