At September30,2024, the accounts of West Terrace Medical Center(WTMC) include the following: Requirements 1.Journalize the transactions (omit explanations). The T-accounts for Accounts Receivable and Allowance for Bad Debts have been opened for you. Post the transactions to the two T-accounts.2. Show how West Terrace Medical Center should report net accounts receivable on its December 31, 2024, balance sheet. More info • Sales on account, $440,000. Ignore Cost of Goods Sold. •Collections on account, $410,260• Wrote off accounts receivable as uncollectible: Red Co., $1,900; Oliver Welch, $750; and Pristine, Inc., $850. •Recorded bad debts expense based on the aging of accounts receivable, as follows: Age of Accounts 1–30 Days31–60 Days61–90 DaysOver 90 DaysAccounts Receivable$103,000$42,000$18,000$5,240Estimated percent uncollectible0.2%2%20%25% Accounts Receivable$142,000Allowance for Bad Debts (credit balance)3,800
At September30,2024, the accounts of West Terrace Medical Center(WTMC) include the following:
Requirements
1.Journalize the transactions (omit explanations). The T-accounts for
Show how
West Terrace Medical Center
should report net accounts receivable on its
December
31,
2024,
More info
•
Sales on account,
$440,000.
Ignore Cost of Goods Sold.
•Collections on account, $410,260•
Wrote off accounts receivable as uncollectible:
Red Co.,
$1,900;
Oliver Welch,
$750;
and
Pristine, Inc.,
$850.
•Recorded bad debts expense based on the aging of accounts receivable, as follows: Age of Accounts 1–30 Days31–60 Days61–90 DaysOver 90 DaysAccounts Receivable$103,000$42,000$18,000$5,240Estimated percent uncollectible0.2%2%20%25%
Accounts Receivable$142,000Allowance for Bad Debts (credit balance)3,800
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