On January 1, 2019, Smith, Inc., has the following balances for accounts receivable and allowance for doubtful accounts: Accounts Receivable $381,000 Allowance for Doubtful Accounts (a credit balance) 3,900 During 2019, Smith had $2,855,000 of credit sales, collected $2,905,000 of accounts receivable, and wrote off $3,850 of accounts receivable as uncollectible. At year end, Smith performs an aging of its accounts receivable balance and estimates that $3,800 will be uncollectible. On January 1, 2019, Smith, Inc., has the following balances for accounts receivable and allowance for doubtful accounts: Accounts Receivable $381,000 Allowance for Doubtful Accounts (a credit balance) 3,900 Prepare the necessary adjusting entry for 2019

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 1, 2019, Smith, Inc., has the following balances for accounts receivable and allowance for doubtful accounts:

Accounts Receivable $381,000
Allowance for Doubtful Accounts (a credit balance) 3,900

During 2019, Smith had $2,855,000 of credit sales, collected $2,905,000 of accounts receivable, and wrote off $3,850 of accounts receivable as uncollectible. At year end, Smith performs an aging of its accounts receivable balance and estimates that $3,800 will be uncollectible.

On January 1, 2019, Smith, Inc., has the following balances for accounts receivable and allowance for doubtful accounts:

Accounts Receivable $381,000
Allowance for Doubtful Accounts (a credit balance) 3,900

Prepare the necessary adjusting entry for 2019.

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