Direct Write-Off Method Williams & Hendricks Distributors uses the direct write-off method in accounting for uncollectible accounts. 20-1 Feb. Sold merchandise on account to Merry Merchants, $17,500. 18 Mar. Sold merchandise on account to Utter Unicorns, $14,300. 22 June Received $10,000 from Merry Merchants and wrote off the remainder owed on the sale of February 18 as uncollectible.
Direct Write-Off Method Williams & Hendricks Distributors uses the direct write-off method in accounting for uncollectible accounts. 20-1 Feb. Sold merchandise on account to Merry Merchants, $17,500. 18 Mar. Sold merchandise on account to Utter Unicorns, $14,300. 22 June Received $10,000 from Merry Merchants and wrote off the remainder owed on the sale of February 18 as uncollectible.
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter9: Sales And Purchases
Section: Chapter Questions
Problem 8E: Toby Company had the following sales transactions for March: Mar. 6Sold merchandise on account to...
Related questions
Topic Video
Question
![Direct Write-Off Method
Williams & Hendricks Distributors uses the direct write-off method in accounting for
uncollectible accounts.
20-1
Feb.
Sold merchandise on account to Merry Merchants, $17,500.
18
Mar.
Sold merchandise on account to Utter Unicorns, $14,300.
22
June Received $10,000 from Merry Merchants and wrote off the remainder owed on the
3 sale of February 18 as uncollectible.
Received $8,000 from Utter Unicorns and wrote off the remainder owed on the sale
Sept.
of March 22 as uncollectible.
Nov. Reinstated the account of Merry Merchants, which had been written off on June 3,
13 and received $7,500 cash in full settlement.
20-2
Jan. Reinstated the account of Utter Unicorns, which had been written off on September
9 of the previous year, and received $6,300 cash in full settlement.
17](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3aff424b-0e96-4e90-b1d6-dc40303839e0%2Fb4441968-5fc7-4335-952d-f6f2eb40a5da%2Fxdgz46j_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Direct Write-Off Method
Williams & Hendricks Distributors uses the direct write-off method in accounting for
uncollectible accounts.
20-1
Feb.
Sold merchandise on account to Merry Merchants, $17,500.
18
Mar.
Sold merchandise on account to Utter Unicorns, $14,300.
22
June Received $10,000 from Merry Merchants and wrote off the remainder owed on the
3 sale of February 18 as uncollectible.
Received $8,000 from Utter Unicorns and wrote off the remainder owed on the sale
Sept.
of March 22 as uncollectible.
Nov. Reinstated the account of Merry Merchants, which had been written off on June 3,
13 and received $7,500 cash in full settlement.
20-2
Jan. Reinstated the account of Utter Unicorns, which had been written off on September
9 of the previous year, and received $6,300 cash in full settlement.
17
![Required:
1. Record these transactions in general journal form.
Page:
DOC. POST.
NO. REF.
DATE
ACCOUNT TITLE
DEBIT
CREDIT
20-1
1
Feb. 18
Accounts Payable/Merry Merchants
♥
17,500
2
Sales
17,500 2
3
Sold merchandise on account
3
4
Mar. 22 Accounts Receivable/Utter Unicorns
14,300
5
6
Sales
14,300
6.
7
Sold merchandise on account
Jun. 3
9.
10
10
11
Collection on account
11
12
12
13 Jun. 3
13
14
14
15
Wrote off uncollectible account
15
16
16
17 Sept. 9
17
18
18
19
Collection on account
19
20
20
21 Sept. 9
21
22
22
23
Wrote off uncollectible account
23
24
24
25 Nov. 13
25
26
26
27
Reinstated account receivable
27
28
28
29 Nov. 13
29
30
30
31
Collection on account
31
32
32
20-2
33
Jan. 17
33
34
34
35
Reinstated account receivable
35
36
36
37 Jan. 17
37
38
38
39
Collection on account
39
I II](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3aff424b-0e96-4e90-b1d6-dc40303839e0%2Fb4441968-5fc7-4335-952d-f6f2eb40a5da%2Fc1151fb_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required:
1. Record these transactions in general journal form.
Page:
DOC. POST.
NO. REF.
DATE
ACCOUNT TITLE
DEBIT
CREDIT
20-1
1
Feb. 18
Accounts Payable/Merry Merchants
♥
17,500
2
Sales
17,500 2
3
Sold merchandise on account
3
4
Mar. 22 Accounts Receivable/Utter Unicorns
14,300
5
6
Sales
14,300
6.
7
Sold merchandise on account
Jun. 3
9.
10
10
11
Collection on account
11
12
12
13 Jun. 3
13
14
14
15
Wrote off uncollectible account
15
16
16
17 Sept. 9
17
18
18
19
Collection on account
19
20
20
21 Sept. 9
21
22
22
23
Wrote off uncollectible account
23
24
24
25 Nov. 13
25
26
26
27
Reinstated account receivable
27
28
28
29 Nov. 13
29
30
30
31
Collection on account
31
32
32
20-2
33
Jan. 17
33
34
34
35
Reinstated account receivable
35
36
36
37 Jan. 17
37
38
38
39
Collection on account
39
I II
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![College Accounting (Book Only): A Career Approach](https://www.bartleby.com/isbn_cover_images/9781337280570/9781337280570_smallCoverImage.gif)
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
![College Accounting, Chapters 1-27](https://www.bartleby.com/isbn_cover_images/9781337794756/9781337794756_smallCoverImage.gif)
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
![Cornerstones of Financial Accounting](https://www.bartleby.com/isbn_cover_images/9781337690881/9781337690881_smallCoverImage.gif)
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
![College Accounting (Book Only): A Career Approach](https://www.bartleby.com/isbn_cover_images/9781337280570/9781337280570_smallCoverImage.gif)
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
![College Accounting, Chapters 1-27](https://www.bartleby.com/isbn_cover_images/9781337794756/9781337794756_smallCoverImage.gif)
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
![Cornerstones of Financial Accounting](https://www.bartleby.com/isbn_cover_images/9781337690881/9781337690881_smallCoverImage.gif)
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning