QUESTION 38 25 points Save A The folowing information comestfrom the accounts of
ID: 2561703 • Letter: Q
Question
QUESTION 38 25 points Save A The folowing information comestfrom the accounts of Frye Company: Beginning balance of Accounts Receivable in sales on acoount during the accounting period. White-offs of uncollectible accounts ware $2,100 The adjustment for bad debes at the end of the accounting period was: 1.Credt acoorts recevable for S2.400 and debit ailowance for bad detts for $2.400 2.0edt alowance for bad debts S2A00and dett bad debt "spense S2A00 O 3 Credit acoounts receivable for $2,100 and debit alowance for $2,100 Credit allowance for bad debts $2,700 and debit bad debt expense $2,700 &OneM; ooorts reoevatie$2.700 and debt bad debt expense 2,700
Explanation / Answer
T-Accounts Allowance for Doubtful account write off 2,100 BB 1,800 adjust 2,700 EB 2,400 entry Bad debts expense DR 2,700 Allowance for doubtful accounts CR 2,700 hence option 4 is the correct answer