Porter Company experienced the following events during 2012:
1.Recognized $8,400 of service revenue on account
2.Wrote off as uncollectible an account receivable in the amount of $27
3.Prepared adjusting entry to recognize uncollectible accounts expense.Porter expected that 1% of service revenue would not be collected
Required:
Show how each of these events would affect the financial statements model,below.Include dollar amounts of increases and decreases.When an account is not affected by a particular event,indicate with NA.

Question

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The Answer of Porter Company experienced the following events during 2012:
1.Recognized $8,400 of service revenue on account
2.Wrote off as uncollectible an account receivable in the amount of $27
3.Prepared adjusting entry to recognize uncollectible accounts expense.Porter expected that 1% of service revenue would not be collected
Required:
Show how each of these events would affect the financial statements model,below.Include dollar amounts of increases and decreases.When an account is not affected by a particular event,indicate with NA.

Porter Company Experienced the Following Events During 2012