At December 31, 2018, Sunland Company Company had a credit balance of $15,300 in Allowance for Doubtful Accounts. During 2019, Sunland Company wrote off accounts totaling $12,800. One of those accounts ($1,700) was later collected. At December 31, 2019, an aging schedule indicated that the balance in Allowance for Doubtful Accounts should be $26,800.

Required:
Prepare journal entries to record the 2019 transactions of Sunland Company.

During 2019, Sunland Company wrote off accounts totaling $12,800

Entries required - Debit Allowance for doubtful debt $12,800

                             Credit Accounts receivable  $12,800

Being entries to write off accounts initially provided for.

One of those accounts ($1,700) was later collected.

Debit Cash account $1,700

Credit Bad debt expense $1,700

Being entries to record receipt of cash from account previously written off

At December 31, 2019, an aging schedule indicated that the balance in Allowance for Doubtful Accounts should be $26,800

Entries required - Debit Bad debt expense $24,300

                             Credit Allowance for doubtful debt $24,300

Being entries to recognized bad debt expense as at year end based on aging schedule.

Explanation:

When a company makes sales on account, debit accounts receivable and credit sales. Based on assessment, some or all of the receivables may be uncollectible.  

To account for this, debit bad debit expense and credit allowance for doubtful debt. Should the debt become uncollectible (i.e go bad), debit allowance for doubtful debt and credit accounts receivable.

Where a debit that had previously been determined to have gone bad gets settled, debit cash and credit bad debt expense.

Given that, At December 31, 2019, an aging schedule indicated that the balance in Allowance for Doubtful Accounts should be $26,800

Adjustment required for doubtful accounts

= $26,800 - ($15,300 - $12,800)

= $24,300

a

b

b

a

c

b

d

d

none of these are correct, as they are all sources of american law

a

answer; lags, push the econ below the natural level of output;