Business
Business, 16.10.2020 14:01, hsnak

McKinney & Co. estimates its uncollectible accounts as a percentage of credit sales. McKinney made credit sales of $1,500,000 in 2019. McKinney estimates 2.5% of its sales will be uncollectible. At the end of the first quarter of 2020, McKinney & Co. reevaluates its receivables. McKinney’s management decides that $8,500 due from Mangold Corporation will not be collectible. This amount was previously included in the allowance account. On April 23, 2020, McKinney & Co. receives a check from Mangold Corporation for $8,500. Required:
Prepare the journal entry to record the write-off for Mckinney.

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McKinney & Co. estimates its uncollectible accounts as a percentage of credit sales. McKinney ma...

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