Using the direct write-off method of accounting for uncollectible receivables.Transactions:April1Sold merchandise on account to Jim Dobbs, $7,200. The cost of the merchandise is $5,400.June10Received payment for one-third of the receivable from Jim Dobbs and wrote off the remainder.Oct.11Reinstated the account of Jim Dobbs and received cash in full payment. Required: Journalize the above transactions. Refer to the Chart of Accounts for exact wording of account titles.CHART OF ACCOUNTS General Ledger ASSETS110Cash111Petty Cash121Accounts Receivable-Alan Albertson122Accounts Receivable-Jim Dobbs123Accounts Receivable-John Groves124Accounts Receivable-Jan Lehn125Accounts Receivable-Jacob Marley126Accounts Receivable-Mr.Potts127Accounts Receivable-Chad Thomas128Accounts Receivable-Andrew Warren129Allowance for Doubtful Accounts131Interest Receivable132Notes Receivable141Inventory145Supplies151Prepaid Insurance181Land191Equipment192Accumulated Depreciation LIABILITIES210Accounts Payable211Salaries Payable213Sales Tax Payable214Interest Payable215Notes Payable EQUITY310Common Stock311Retained Earnings312Dividends REVENUE410Sales610Interest Revenue EXPENSES510Cost of Goods Sold520Salaries Expense521Advertising Expense522Depreciation Expense523Delivery Expense524Repairs Expense531Rent Expense533Insurance Expense534Supplies Expense536Credit Card Expense537Cash Short and Over538Bad Debt Expense539Miscellaneous Expense710Interest Expense Journalize the entries for each transaction. Refer to the Chart of Accounts for exact wording of account titles. 1234567891011Journalize the entries for each transaction. Refer to the Chart of Accounts for exact wording of account titles.JOURNALDATEDESCRIPTIONPOST. REF.DEBITCREDITPAGE 1ACCOUNTING EQUATIONLIABILITIESASSETSEQUITY

Journal entries is the very basic step which reports the events that occur during the course of…

Answered: Using the direct write-off method of…

Quickbooks Online Accounting

3rd Edition

ISBN:9780357391693

Author:Owen

Publisher:Owen

Chapter3: Setting Up A New Company

Section: Chapter Questions

Problem 1.8C

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Using the direct write-off method of accounting for uncollectible receivables.

Transactions:
April	1	Sold merchandise on account to Jim Dobbs, $7,200. The cost of the merchandise is $5,400.
June	10	Received payment for one-third of the receivable from Jim Dobbs and wrote off the remainder.
Oct.	11	Reinstated the account of Jim Dobbs and received cash in full payment.

Required:

Journalize the above transactions. Refer to the Chart of Accounts for exact wording of account titles.

CHART OF ACCOUNTS General Ledger

	ASSETS
110	Cash
111	Petty Cash
121	Accounts Receivable-Alan Albertson
122	Accounts Receivable-Jim Dobbs
123	Accounts Receivable-John Groves
124	Accounts Receivable-Jan Lehn
125	Accounts Receivable-Jacob Marley
126	Accounts Receivable-Mr.Potts
127	Accounts Receivable-Chad Thomas
128	Accounts Receivable-Andrew Warren
129	Allowance for Doubtful Accounts
131	Interest Receivable
132	Notes Receivable
141	Inventory
145	Supplies
151	Prepaid Insurance
181	Land
191	Equipment
192	Accumulated Depreciation

	LIABILITIES
210	Accounts Payable
211	Salaries Payable
213	Sales Tax Payable
214	Interest Payable
215	Notes Payable

	EQUITY
310	Common Stock
311	Retained Earnings
312	Dividends

	REVENUE
410	Sales
610	Interest Revenue

	EXPENSES
510	Cost of Goods Sold
520	Salaries Expense
521	Advertising Expense
522	Depreciation Expense
523	Delivery Expense
524	Repairs Expense
531	Rent Expense
533	Insurance Expense
534	Supplies Expense
536	Credit Card Expense
537	Cash Short and Over
538	Bad Debt Expense
539	Miscellaneous Expense
710	Interest Expense

Journalize the entries for each transaction. Refer to the Chart of Accounts for exact wording of account titles.

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