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5. The following accounts were taken from Bonita Inc's trial balance at December 31, 2020. Credit...


5. The following accounts were taken from Bonita Incs trial balance at December 31, 2020. Credit $734,900 Debit Net credit s
5. The following accounts were taken from Bonita Inc's trial balance at December 31, 2020. Credit $734,900 Debit Net credit sales Allowance for doubtful accounts $12.740 Accounts receivable 301.400 If doubtful accounts are 3% of accounts receivable, determine the bad debt expense to be reported for 2020 'Bad debt expense, as adjusted $
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Answer #1
In the Present Question
Accounts Receivable $301,400.00
Doubtful Accounts (3% of Accounts Receivable)
Allowance for Doubtful Accounts $12,740.00 (Dr. Balance)
Bad Debt Expense = (Accounts receivable ending balance x percentage estimated as uncollectible) + existing debit balance in allowance for doubtful accounts
          = (301400$ * 3%) + 12740
          = $21,782.00
ANS:- $ 21782
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