During burns company's first year of operations, credit sales totaled $166,000 and collections on credit sales totaled $118,000. burns estimates that bad debt losses will be 2.0% of credit sales. by year-end, burns had written off $430 of specific accounts as uncollectible. required: 1. prepare all appropriate journal entries relative to uncollectible accounts and bad debt expense. 2. show the year-end balance sheet presentation for accounts receivable.

1. Prepare all appropriate journal entries relative to uncollectible accounts and bad debt expense.

1  

Db Bad debt expense3320  

Cr Allowance for bad debt  3320

2  

Db Allowance for  bad debt__430  

Cr Account Recevaible  430

2. Show the year-end balance sheet presentation for accounts receivable.

Account receivable47570  

Net account receivable44250

Explanation:

Credit sales166000  

Credir sales118000  

Bad debt losses2%  

Writte off430  

Allowance3320  

1  

Db Bad debt expense3320  

Cr Allowance for bad debt  3320

2  

Db Allowance for  bad debt__430  

Cr Account Recevaible  430

Year end balance48000  

Cr Account Recevaible430  

Account receivable47570  

Allownace for bad debts3320  

Net account receivable44250  

answer: b 56, 250

explanation:

answer; (cash) is the best out of the above; good luck