On December 31 of the current year, the unadjusted trial bal…

On December 31 of the current year, the unadjusted trial balance of a company using the percent of receivables method to estimate bad debt included the following: Accounts Receivable, debit balance of $97,300; Allowance for Doubtful Accounts, credit balance of $971. What amount should be debited to Bad Debts Expense, assuming 4% of outstanding accounts receivable at the end of the current year are estimated to be uncollectible?

Spencer Company has a $250 petty cash fund. At the end of th…

Spencer Company has a $250 petty cash fund. At the end of the first month the accumulated receipts represent $48 for delivery expenses, $147 for merchandise inventory, and $17 for miscellaneous expenses. The fund has a balance of $38. The journal entry to record the reimbursement of the account includes a: