A6 Blossom Salon Supply Company has accounts receivable of $89.000 at March 31, 2025. An analysis of the accounts shows theseamounts:Month of SaleMarchFebruaryDecember and JanuaryOctober and NovemberBalance, March 312025$60,000 $75,000Age of AccountsCurrent1-30 days past due31-90 days past dueOver 90 days past due12,00010,0007,000$89,000202478,00025502,000Credit terms are 2/10, n/30. At March 31, 2025, there is a $2.500 credit balance in Allowance for Doubtful Accounts prior toadjustment. The company uses the percentage of receivables basis for estimating uncollectible accounts. The company's estimates ofuncollectibles are as shown below:1,000$86,000Estimated PercentageUncollectible2 % (b)Prepare the adjusting entry at March 31, 2025, to record bad debt expense. (Credit account titles are automatically indented whenthe amount is entered. Do not indent manually.)Date Account Titles and ExplanationMar. 31DebitCredit

A journal entry is a basic accounting record that is used to chronologically track financial…

Answered: Month of Sale ary amber and January…

Business

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Month of Sale ary amber and January Balance, March 31 2024 $75,000 8,000 2025 $60,000 12,000 10,000 2,000

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....

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Question

Blossom Salon Supply Company has accounts receivable of $89.000 at March 31, 2025. An analysis of the accounts shows these
amounts:
Month of Sale
March
February
December and January
October and November
Balance, March 31
2025
$60,000 $75,000
Age of Accounts
Current
1-30 days past due
31-90 days past due
Over 90 days past due
12,000
10,000
7,000
$89,000
2024
7
8,000
25
50
2,000
Credit terms are 2/10, n/30. At March 31, 2025, there is a $2.500 credit balance in Allowance for Doubtful Accounts prior to
adjustment. The company uses the percentage of receivables basis for estimating uncollectible accounts. The company's estimates of
uncollectibles are as shown below:
1,000
$86,000
Estimated Percentage
Uncollectible
2 %

(b)
Prepare the adjusting entry at March 31, 2025, to record bad debt expense. (Credit account titles are automatically indented when
the amount is entered. Do not indent manually.)
Date Account Titles and Explanation
Mar. 31
Debit
Credit

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