On December 31, 2023, when its accounts receivable were $282,000 and its Allowance for Expected Credit Losses had an unadjusteddebit balance of $1,900, Runner Corp. estimated that $15,800 of its accounts receivable account would become uncollectible, and itrecorded the credit losses adjusting entry. On May 11, 2024, Runner determined that Fei Ya Cheng's account was uncollectible andwrote off $1,800. On November 12, 2024, Cheng paid the amount previously written off.(a)Your answer is partially correct.Prepare the required journal entries to record each of the above transactions. (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 0 for the amounts. Record entries in the order displayed in the problemstatement.)2023(b)DateAccount Titles and ExplanationDec. 31No Entry2024No EntryDateAccount Titles and ExplanationMay 11Allowance for Expected Credit LossesAccounts ReceivableNov. 12Accounts ReceivableAllowance for Expected Credit Losses(To reinstate account previouslywritten off)CashAccounts Receivable(To record amount collected)eTextbook and MediaList of AccountsDebitCreditDebit180018001800Credit180018001800Attempts: 2 of 2 usedWhat is the carrying amount of the receivables on (1) December 31, 2023; (2) May 11, 2024; and (3) November 12, 2024,assuming that the total amount of accounts receivable of $282,000 is unchanged on each of these three dates except for anychanges recorded in part (a)?Carrying amountDecember 31, 2023May 11, 2024$November 12, 2024$

Accounts receivable indicates the amounts which company has not received from their debtors to whom…

On December 31, 2023, when its accounts receivable were $282,000 and its Allowance for Expected Credit Losses had an unadjusted debit balance of $1,900, Runner Corp. estimated that $15,800 of its accounts receivable account would become uncollectible, and it recorded the credit losses adjusting entry. On May 11, 2024, Runner determined that Fei Ya Cheng's account was uncollectible and wrote off $1,800. On November 12, 2024, Cheng paid the amount previously written off.

On December 31, 2023, when its accounts receivable were $282,000 and its Allowance for Expected Credit Losses had an unadjusted debit balance of $1,900, Runner Corp. estimated that $15,800 of its accounts receivable account would become uncollectible, and it recorded the credit losses adjusting entry. On May 11, 2024, Runner determined that Fei Ya Cheng's account was uncollectible and wrote off $1,800. On November 12, 2024, Cheng paid the amount previously written off.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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One company has a credit balance of $1530 in its allowance for doubtful accounts before any adjustments are made at the end of the year. Based on review and aging of its accounts receivable at the end of the year, One company estimates that $1545 of its receivables are uncollectible. As a result it will debit Bad Debts Expense for what amount?
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Ee.19.
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