Question

Exercise 8-03 (Part Level Submission) At the beginning of the current period, Kingbird Corp. had balances in Accounts Receivable of $191,500 and in Allowance for Doubtful Accounts of $9,890 (credit). During the period, it had net credit sales of $733,600 and collections of $767,780. It wrote off as uncollectible accounts receivable of $7,149. However, a $2,957 account previously written off as uncollectible was recovered before the end of the current period. Uncollectible accounts are estimated to total $25,440 at the end of the period. (Omit cost of goods sold entries.)

(a - d)

(a)		Prepare the entries to record sales and collections during the period.
(b)		Prepare the entry to record the write-off of uncollectible accounts during the period.
(c)		Prepare the entries to record the recovery of the uncollectible account during the period.
(d)		Prepare the entry to record bad debt expense for the period.

(Credit account titles are automatically indented when amount is entered. Do not indent manually.)

No.	Account Titles and Explanation	Debit	Credit
(a)	Enter an account title to record sales	Enter a debit amount	Enter a credit amount
	Enter an account title to record sales	Enter a debit amount	Enter a credit amount
	(To record sales)
	Enter an account title	Enter a debit amount	Enter a credit amount
	Enter an account title	Enter a debit amount	Enter a credit amount
	(To record cash received)
(b)	Enter an account title	Enter a debit amount	Enter a credit amount
	Enter an account title	Enter a debit amount	Enter a credit amount
(c)	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
	(To record cash received)
(d)	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

(Credit account titles are automatically indented when amount is entered. Do not indent manually.)

No.	Account Titles and Explanation	Debit	Credit
(a)	Account receivable	733600
	Sales revenue		733600
	(To record sales)
	Cash	767780
	Account receivable		767780
	(To record cash received)
(b)	Allowance for doubtful accounts	7149
	Account receivable		7149
(c)	Account receivable	2957
	Allowance for doubtful accounts		2957
	(To reinstate account previously written off)
	Cash	2957
	Account receivable		2957
	(To record cash received)
(d)	Bad debt expense (25440-5698)	19742
	Allowance for doubtful accounts		19742