The following information is available for Plains Company, which uses the allowance method.
Plains estimated that 1% of sales on account will be uncollectible. After several attempts at collection, Plains wrote off an account of $900 that could not be collected.
Required:a)Compute the amount of uncollectible accounts expense for Year 1.

Question

The following information is available for Plains Company, which uses the allowance method.
  Plains estimated that 1% of sales on account will be uncollectible. After several attempts at collection, Plains wrote off an account of $900 that could not be collected.
Required:a)Compute the amount of uncollectible accounts expense for Year 1.

Quizplus · Accepted Answer

The Answer of The following information is available for Plains Company, which uses the allowance method.
  Plains estimated that 1% of sales on account will be uncollectible. After several attempts at collection, Plains wrote off an account of $900 that could not be collected.
Required:a)Compute the amount of uncollectible accounts expense for Year 1.

The Following Information Is Available for Plains Company, Which Uses