Direct Rentals has many accounts receivable.Direct Rentals' balance sheet as of December 31,20X2,showed Accounts Receivable of $36,000 and an Allowance for Uncollectible Accounts of $3,400 credit.In early 20X3,write-offs of customer accounts of $2,800 were made.In late 20X3,a customer named Jeremy,whose $1,000 debt had been written off earlier,won a $1 million promotion cash prize.He immediately remitted $1,000 to Direct Rentals.
Prepare the journal entries for the
a.$2,800 write-off in early 20X3.
b.receipt from Jeremy in late 20X3.

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The Answer of Direct Rentals has many accounts receivable.Direct Rentals' balance sheet as of December 31,20X2,showed Accounts Receivable of $36,000 and an Allowance for Uncollectible Accounts of $3,400 credit.In early 20X3,write-offs of customer accounts of $2,800 were made.In late 20X3,a customer named Jeremy,whose $1,000 debt had been written off earlier,won a $1 million promotion cash prize.He immediately remitted $1,000 to Direct Rentals.
Prepare the journal entries for the
a.$2,800 write-off in early 20X3.
b.receipt from Jeremy in late 20X3.

Direct Rentals Has Many Accounts Receivable