Question

Problem 3.

Journalize the following transactions using the allowance method of accounting for uncollectible receivables.

June 10            Received $1,100 from Jim Dobbs and wrote off the remainder owed of $4,000.

Date                   Account Title                                             Debit                   Credit

Oct. 11            Reinstated the account of Jim Dobbs and received $4,000 cash in full payment.

Date                   Account Title                                              Debit                   Credit

Answer 1

Date	Account Title	Debit	Credit
June 10	Cash	1100
	Allowance for Doubtful Accounts	4000
	Accounts Receivable-Jim Dobbs		5100
Date	Account Title	Debit	Credit
Oct. 11	Accounts Receivable-Jim Dobbs	4000
	Allowance for Doubtful Accounts		4000
Oct. 11	Cash	4000
	Accounts Receivable-Jim Dobbs		4000