Prepare the adjusting journal entry to record the estimate for bad debts assuming:
On December 31,of the current year,a company's unadjusted trial balance revealed the following: Accounts receivable of $185,600; Sales Revenue of $1,280,000; (75% were on credit)and Allowance for Doubtful Accounts of $1,600 (credit balance).
1.Bad debts expense is estimated to be 1.5% of credit sales.
2.6% of the accounts receivable balance is assumed to be uncollectible.

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The Answer of Prepare the adjusting journal entry to record the estimate for bad debts assuming:
On December 31,of the current year,a company's unadjusted trial balance revealed the following: Accounts receivable of $185,600; Sales Revenue of $1,280,000; (75% were on credit)and Allowance for Doubtful Accounts of $1,600 (credit balance).
1.Bad debts expense is estimated to be 1.5% of credit sales.
2.6% of the accounts receivable balance is assumed to be uncollectible.

Prepare the Adjusting Journal Entry to Record the Estimate for Bad