Question

The following selected transactions were taken from the records of Rustic Tables Company for the year ending December 31: June 8. Wrote off account of Kathy Quantel, $8,440. Aug. 14. Received $3,000 as partial payment on the $12,500 account of Rosalie Oakes. Wrote off the remaining balance as uncollectible. Oct. 16. Received the $8,440 from Kathy Quantel, whose account had been written off on June 8. Reinstated the account and recorded the cash receipt. Dec. 31 Wrote off the following accounts as uncollectible (record as one journal entry):
a. Wade Dolan $4,600
b. Greg Gagne 3,600
c. Amber Kisko 7,150
d. Shannon Poole 2,975
e. Niki Spence 6,630

Answer 1

Answer:

The journal entries for all transactions are as follows;

Explanation:

June 8. Bad Debts Expense            Dr.$8,440

             Accounts-Receivable-Kathy Quantel  Cr.$8,440

Aug 14. Bank                Dr.$3,000

             Bad Debt Expense Dr. $9,500

             Accounts Receivable-Rosalie Oakes            Cr.$12,500

Oct 16. Accounts-Receivable-Kathy Quantel    Dr.$8,440

            Bad Debts Expense                               Cr. $ 8,440

         

           Cash                         Dr. $8,440

           Accounts-Receivable-Kathy Quantel   Cr.$8,440

Dec 31.   Bad debt Expense     Dr. 24,955

              Account Receivable-Wade Dolan Cr.$4,600

              A/R-Greg Gagne                             Cr.$3,600

              A/R-Amber Kisko                             Cr.$7,150

             A/R- Shannon Poole                         Cr.$2,975

             A/R-Niki Spence                                Cr.$6,630