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kkurt [141]
2 years ago
15

Handel Company uses the allowance method for estimating uncollectible accounts.

Business
1 answer:
NikAS [45]2 years ago
8 0

Answer:

Entries are given below

Explanation:

January 5 - Sold Merchandise

                                                           DEBIT      CREDIT

Receivable - Terry                            $2,000

Sales Revenue                                                     $2,000

April 15 - Received $600 from terry

                                                                DEBIT      CREDIT

Cash                                                         $600

Receivable - Terry                                                      $600

August 21 wrote off uncollectable debt

                                                                    DEBIT      CREDIT

Allowance for debt (2000-400)                $1,400

Receivable - Terry                                                           $1,400

October 5 Received a check

                                                                DEBIT      CREDIT

Receivable - Terry                                   $300

Allowance for doubtful debt                                     $300

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