On January 1, 2013, the balance in Kubera Co’s Allowance for Bad Debts account was 1,300. During the year, a total of $3615 of delinquent accounts receivable was written off as bad debts. The balance in the Allowance for Bad Debts account at December 31, 2013 was 1,420.
A. what was the total amount of bad debts expense recognized during the year (Hint make a T-account for the allowance for Bad Debts account)
B. As a result of a comprehensive analysis, it is determined that the December 31, 2013, balance of Allowances for Bad Debts should be 4,330. Show the adjustment required in journal entry format
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