Timmons Company Had a January 1 Credit Balance in Its

question 162

Essay

Timmons Company had a January 1 credit balance in its Allowance for Doubtful Accounts of $7,000 for the current year.The following transactions and events affected the Allowance for Doubtful Accounts during the current year:
$\begin{array}{|l|l|}\hline\text { Apr. 15 } & \text { Bard's account receivable of } \$ 5,700 \text { was deemed uncollectible. } \\\hline \text { July 1 } & \begin{array}{l}\text { Drake paid the full amount of a previously written-off account receivable. This } \\\text { receivable of } \$ 2,300 \text { had been written off in the prior year. }\end{array} \\\hline \text { Dec. 31 } & \text { Bad debts expense of } \$ 7,500 \text { was recorded. }\\\hline\end{array}$
What amount should appear in the allowance for doubtful accounts in the December 31 balance sheet for the current year?

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Definitions:

Hereditary Influence

The impact on an individual's traits and characteristics that are passed down from parents to their offspring through genes.

Past Relationships

Refers to previous associations or connections with other individuals, often romantic, that have ended.

Inadequate Theory

A theory that lacks sufficient evidence, detail, or scope to fully explain a phenomenon or solve a problem.

Narcissist

An individual with an inflated sense of their own importance and a deep need for excessive attention and admiration.