Pena Company experienced the following events during 2016:
1.Recognized $17,000 of service revenue on account
2.Wrote off as uncollectible an account receivable,$70.
3.Prepared adjusting entry to recognize uncollectible accounts expense.Pena expected that 2% of service revenue would not be collected
Required: Show how each of these events would affect the financial statements model,below.Include dollar amounts of increases and decreases.When an account is not affected by a particular event,indicate with NA.

Question

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The Answer of Pena Company experienced the following events during 2016:
1.Recognized $17,000 of service revenue on account
2.Wrote off as uncollectible an account receivable,$70.
3.Prepared adjusting entry to recognize uncollectible accounts expense.Pena expected that 2% of service revenue would not be collected
Required: Show how each of these events would affect the financial statements model,below.Include dollar amounts of increases and decreases.When an account is not affected by a particular event,indicate with NA.

Pena Company Experienced the Following Events During 2016