RECOMMENDED!!The ledger of Whispering Winds Corp. at the end
The ledger of Whispering Winds Corp. at the end of the current year shows Accounts Receivable $108,000; Sales Revenue $849,000; and Sales Returns and Allowances $24,500.If Whispering Winds Corp. uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming Whispering Winds Corp. determines that L. Dole’s $1,700 balance is uncollectible.If Allowance for Doubtful Accounts has a credit balance of $2,200 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 14% of accounts receivable.If Allowance for Doubtful Accounts has a debit balance of $211 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 5% of accounts receivable.
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