Question

q8

On January 1, Wei company begins the accounting period with a $43,000 credit balance in Allowance for Doubtful Accounts. a. On February 1, the company determined that $9,400 in customer accounts was uncollectible; specifically, $2,200 for Oakley Co. and $7,200 for Brookes Co. Prepare the journal entry to write off those two accounts. b. On June 5, the company unexpectedly received a $2,200 payment on a customer account, Oakley Company that had previously been written off in part a. Prepare the entries to reinstate the account and record the cash received. View transaction list Journal entry worksheet On February 1, the company determined that $9,400 in customer accounts was uncollectible; specifically, $2,200 for Oakley Co. and $7,200 for Brookes Co. Prepare the journal entry to write off those two accounts. Note: Enter debits before credits. Date General Journal Debit Credit Feb 01 Record entry Clear entry View general journal

Answer 1

Answer
a) Journal entry :
Date	account and explanation	debit	credit
Feb-01	Allowance for doubtful accounts	$     9,400
	Account receivable-Oakley Co		$     2,200
	Account receivable-Brookes Co		$     7,200
	(To record write off)
b) Journal entry :
Date	account and explanation	debit	credit
Jun-05	Account receivable-Oakley CO	$     2,200
	Allowance for doubtful accounts		$        200
	(To record amount reinstated)
Jun-05	Cash	$     2,200
	Account receivable-Oakley CO		$        200
	(To record cash received)