Brief exercise 8-5 blossom company uses the percentage-of-receivables basis to record bad debt expense and concludes that 4% of accounts receivable will become uncollectible. accounts receivable are $419,300 at the end of the year, and the allowance for doubtful accounts has a credit balance of $2,941.prepare the adjusting journal entry to record bad debt expense for the year.

The adjusting journal entry to record bad debt expense for the year:

Debit Bad debts expense $13,831

Credit Allowance for doubtful accounts  $13,831

Explanation:

Blossom Company uses the percentage-of-receivables basis to record bad debt expense.

At the end of the year, Accounts receivable are $419,300 and 4% of accounts receivable will become uncollectible.

Estimated uncollectible = $419,300 x 4% = $16,772

Before adjusting, the allowance for doubtful accounts has a credit balance of $2,941.

Bad debts expense = $16,772 - $2,941 = $13,831

The adjusting journal entry:

Debit Bad debts expense $13,831

Credit Allowance for doubtful accounts  $13,831

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.

i would prefer to go with the news article for nate, its recent and updated and stores a lot of information