roblem 5-3A Record transactions related to accounts receivable (LO5-3, 5-5) [The following information applies to the...

roblem 5-3A Record transactions related to accounts receivable (LO5-3, 5-5) [The following information applies to the questions displayed below.] The following events occur for The Underwood Corporation during 2018 and 2019, its first two years of operations. June 12, 2018 Provide services to customers on account for $41,000. September 17, 2018 Receive $25,000 from customers on account. December 31, 2018 Estimate that 45% of accounts receivable at the end of the year will not be received. March 4, 2019 Provide services to customers on account for $56,000. May 20, 2019 Receive $10,000 from customers for services provided in 2018. July 2, 2019 Write off the remaining amounts owed from services provided in 2018. October 19, 2019 Receive $45,000 from customers for services provided in 2019. December 31, 2019 Estimate that 45% of accounts receivable at the end of the year will not be received. References Section BreakProblem 5-3A Record transactions related to accounts receivable (LO5-3, 5-5) 11.value: 0.27 pointsRequired information Problem 5-3A Part 1 Required: 1. Record transactions for each date

Expert Solution

Jun. 12, 2018	Accounts receivable	41000
	Service revenue		41000

Sep. 17, 2018	Cash	25000
	Accounts receivable		25000

Dec. 31, 2018	Bad debt expense	7200		=(41000-25000)*45%
	Allowance for uncollectible accounts		7200

Mar. 4, 2019	Accounts receivable	56000
	Service revenue		56000

May 20, 2019	Cash	10000
	Accounts receivable		10000

Jul. 2, 2019	Allowance for uncollectible accounts	6000		=41000-25000-10000
	Accounts receivable		6000

Oct. 19, 2019	Cash	45000
	Accounts receivable		45000

Dec. 31, 2019	Bad debt expense	3750		=(56000-45000)*45%-(7200-6000)
	Allowance for uncollectible accounts		3750

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