Write-Off of Uncollectible Account Receivable

question 11

Essay

Write-off of uncollectible account receivable
On January 10,Winston,Inc.'s trial balance included the following accounts: On January 11,Len Palmer,a major customer,declares bankruptcy and thus,Winston determines that a receivable from Palmer in the amount of $3,400 is worthless.
(a)In the space provided,prepare the journal entry that Winston should record to write-off the account receivable from Len Palmer on January 11. (b)Compute the net realizable value of Winston's accounts receivable at each of the following dates:
January 10 (before write-off of Palmer's account)$________________
January 11 (immediately after write-off of Palmers' account)$________________

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Definitions:

Employee Misconduct

Behavior by an employee that is inappropriate or violates company policies or norms, potentially leading to disciplinary action.

Documentation

The collection, creation, and storage of records that provide evidence of transactions, decisions, or processes.

Positive Discipline

A method of teaching and reinforcing good behaviors in the workplace or school settings, focusing on positive interactions rather than punishment.

Mutual Problem-solving

A collaborative approach to resolving disputes or workplace issues, where all parties involved work together to find a mutually satisfactory solution.