Blue, Inc. had net sales in 2025 of $1,447,100. At December 31, 2025, before adjusting entries, the balances in selected accounts were Accounts Receivable $351,700 debit, and Allowance for Doubtful Accounts $2,660 credit. If Blue estimates that 7% of its receivables will prove to be uncollectible. Prepare the December 31, 2025, journal entry to record bad debt expense. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit entry before credit entry.) Date Dec. 31, 2025 Account Titles and Explanation Bad Debt Expense Allowance for Doubtful Accounts Debit 27279 Credit 27279

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Blue, Inc. had net sales in 2025 of $1,447,100. At December 31, 2025, before adjusting entries, the balances in selected accounts were
Accounts Receivable $351,700 debit, and Allowance for Doubtful Accounts $2,660 credit. If Blue estimates that 7% of its receivables
will prove to be uncollectible.
Prepare the December 31, 2025, journal entry to record bad debt expense. (If no entry is required, select "No Entry" for the account titles
and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit
entry before credit entry.)
Date
Dec. 31,
2025
Account Titles and Explanation
Bad Debt Expense
Allowance for Doubtful Accounts
eTextbook and Media
Debit
27279
Credit
27279
Transcribed Image Text:Blue, Inc. had net sales in 2025 of $1,447,100. At December 31, 2025, before adjusting entries, the balances in selected accounts were Accounts Receivable $351,700 debit, and Allowance for Doubtful Accounts $2,660 credit. If Blue estimates that 7% of its receivables will prove to be uncollectible. Prepare the December 31, 2025, journal entry to record bad debt expense. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit entry before credit entry.) Date Dec. 31, 2025 Account Titles and Explanation Bad Debt Expense Allowance for Doubtful Accounts eTextbook and Media Debit 27279 Credit 27279
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