P7 6 (Journalize Various Accounts Receivable Transactions) The balance sheet of Stansky Company at December 31, 2012, includes the following.
|
Notes receivable |
$ 36,000 |
|
|
Accounts receivable |
182,100 |
|
|
Less: Allowance for doubtful accounts |
17,300 |
200,800 |
Transactions in 2012 include the following.
1. Accounts receivable of $138,000 was collected including accounts of $60,000 on which 2% sales discounts were allowed.
2. $5,300 was received in payment of an account which was written off the books as worthless in 2012.
3. Customer accounts of $17,500 were written off during the year.
4. At year end, Allowance for Doubtful Accounts was estimated to need a balance of $20,000. This estimate is based on an analysis of aged accounts receivable. Instructions
Prepare all journal entries necessary to reflect the transactions above.