Question

Kimmel, Financial Accounting, 8e Help System Announcements CALCULATOR PRINTER VERSION BACK NEXT Brief Exercise 8-4 Your answer is partially correct. Try again. At the end of 2016, Blossom Company has accounts receivable of $691,500 and an allowance for doubtful accounts of $25,740. 1. On January 24, 2017, it is learned that the company's receivable from Madonna Inc. is not collectible and therefore management authorizes a write-off of $3,943. 2. On March 4, 2017, Blossom Company receives payment of $3,943 in full from Madonna Inc. Prepare the journal entries to record this transaction. (Credit account titles are automatically Indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation 1. Tallowance for Doubtful Accounts Accounts Receivable 2. Accounts Receivable 665760 Allowance for Doubtful Accounts (To record recovery of accounts receivable) 665760 Accounts Receivable 66570 T Allowance for Doubtful Accounts (To record collection of accounts receivable.)

Answer 1

		Debit	Credit
1	Allowance for Doubtful Accounts	3943
	Accounts Receivable		3943
2	Accounts Receivable	3943
	Allowance for Doubtful Accounts		3943
	(To record recovery of accounts receivable)
	Cash	3943
	Accounts Receivable		3943
	(To record collection of accounts receivable)