At the end of 2024, Waterway Co. has accounts receivable of $727,400 and an allowance for doubtful accounts of $27,280. On January 24, 2025, it is learned that the company's receivable from Madonna Inc. is not collectible and therefore management authorizes a write-off of $4,480. On March 4, 2025, Waterway Co. receives payment of $4,480 in full from Madonna Inc. Prepare the journal entries to record the March 4 transaction. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation (To reverse write-off of accounts receivable.) Debit Credit

At the end of 2024, Waterway Co. has accounts receivable of $727,400 and an allowance for doubtful accounts of $27,280. On January 24, 2025, it is learned that the company's receivable from Madonna Inc. is not collectible and therefore management authorizes a write-off of $4,480. On March 4, 2025, Waterway Co. receives payment of $4,480 in full from Madonna Inc. Prepare the journal entries to record the March 4 transaction. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation (To reverse write-off of accounts receivable.) Debit Credit

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter16: Accounting For Accounts Receivable

Section: Chapter Questions

Problem 3CP: At the end of 20-3, Martel Co. had 410,000 in Accounts Receivable and a credit balance of 300 in...

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