Question

1.		On December 31, 2016, when its Allowance for Doubtful Accounts had a debit balance of $1,451, Blossom Company estimates that 11% of its accounts receivable balance of $78,000 will become uncollectible and records the necessary adjustment to Allowance for Doubtful Accounts.
2.		On May 11, 2017, Blossom Company determined that B. Jared’s account was uncollectible and wrote off $1,260.
3.		On June 12, 2017, Jared paid the amount previously written off.

Prepare the journal entries on December 31, 2016, May 11, 2017, and June 12, 2017. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

No.	Date	Account Titles and Explanation	Debit	Credit
1.	Choose a transaction date                                                          December 31, 2016May 11, 2017June 12, 2017	Enter an account title	Enter a debit amount	Enter a credit amount
		Enter an account title	Enter a debit amount	Enter a credit amount
2.	Choose a transaction date                                                          December 31, 2016May 11, 2017June 12, 2017	Enter an account title	Enter a debit amount	Enter a credit amount
		Enter an account title	Enter a debit amount	Enter a credit amount
3.	Choose a transaction date                                                          December 31, 2016May 11, 2017June 12, 2017	Enter an account title to reinstate account previously written off	Enter a debit amount	Enter a credit amount
		Enter an account title to reinstate account previously written off	Enter a debit amount	Enter a credit amount
		(To reinstate account previously written off)
		Enter an account title	Enter a debit amount	Enter a credit amount
		Enter an account title	Enter a debit amount	Enter a credit amount

Answer 1

Journal Entries:

No.	Date	Account title and explanation	Debit	Credit
1	Dec 31, 2016	Bad debt expense [$1,451 Dr + $78,000 Cr]	$79,451
		Allowance for doubtful accounts		$79,451
		[To record bad debt expense]
2	May 11, 2017	Allowance for doubtful accounts	$1,260
		Accounts receivable		$1,260
		[To record written off of uncollectibles]
3	Jun 12,2017	Accounts receivable	$1,250
		Allowance for doubtful accounts		$1,250
		[To reinstate previously written off]
		Cash	$1,250
		Accounts receivable		$1,250
		[To record cash collection]