Prepare the adjusting journal entry of Bad Debts Expense from the following information using the income statement approach.
$\begin{array}{llcc}
\text { Net Sales for the year} &\$475,000 \
\text {Balance in the allowance account } &900 \text {credit}\
\text {Estimated percentage of sales uncollectible } &2\%\
\text { Estimated uncollectible accounts-aging } &\$2,500\
\end{array}$

Question

Prepare the adjusting journal entry of Bad Debts Expense from the following information using the income statement approach.
 $\begin{array}{llcc}
  \text {  Net Sales for the year} &\$475,000  \
 \text {Balance in the allowance account  } &900 \text {credit}\
 \text {Estimated percentage of sales uncollectible  } &2\%\
 \text { Estimated uncollectible accounts-aging } &\$2,500\
\end{array}$

Quizplus · Accepted Answer

The Answer of Prepare the adjusting journal entry of Bad Debts Expense from the following information using the income statement approach.
 $\begin{array}{llcc}
  \text {  Net Sales for the year} &\$475,000  \
 \text {Balance in the allowance account  } &900 \text {credit}\
 \text {Estimated percentage of sales uncollectible  } &2\%\
 \text { Estimated uncollectible accounts-aging } &\$2,500\
\end{array}$

Prepare the Adjusting Journal Entry of Bad Debts Expense from the Following