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Business, 26.10.2021 08:20 ubaldo7410
The unadjusted trial balance at year-end for a company that uses the percent of receivables method to determine its bad debts expense reports the following selected amounts: Accounts Receivable $ 432,000 Debit Allowance for Doubtful Accounts 1,380 Debit Net Sales 2,230,000 Credit All sales are made on credit. Based on past experience, the company estimates 3.0% of ending accounts receivable to be uncollectible. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?
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