Dexter company uses the direct write-off method

Dexter Company applies the direct write-off method in accounting for uncollectible accounts. March 11 Dexter determines that it cannot collect $45,000 of its accounts receivable from its customer Leer Company. 29 Leer Company unexpectedly pays its account in full to Dexter Company. Dexter records its recovery of this bad debt. Prepare journal entries to record the above selected transactions of Dexter.

1 Answers

  • Tyisha Schewe
    1 days ago
    Dexter company uses the direct write-off method

    Date
    Accounts Title and Explanation
    Post Debit (9) Credit (9)
    Ref.
    45,000
    Mar-11 Bad Debt Expense
    Accounts Receivable (To record uncollectible accounts receivable)
    45,000
    Date
    Accounts Title and Explanation
    Post Ref. Der
    4 5,000

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