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EX 8-3 Entries for uncollectible accounts, using the direct write-off method.
Journalize the following transactions in the accounts of Canyon River Medical Co., a medical equipment company
that uses the direct write-off method of accounting for uncollectible receivables:
 Jan. 19. Sold merchandise on account to Dr. Kyle Norby, $5,000. The cost of goods sold was $2,200.
 June 2. Received $400 from Dr. Kyle Norby and wrote off the remainder owed on the sale of January 19 as
uncollectible.
 Oct. 23. Reinstated the account of Dr. Kyle Norby that had been written off on June 2 and received $4,600
cash in full payment.

EX 8-4 Entries for uncollectible receivables, using allowance method.

Journalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that
uses the allowance method of accounting for uncollectible receivables:
 May 24. Sold merchandise on account to Old Town Cafe, $27,250. The cost of goods sold was $16,300.
 Sept. 30. Received $10,000 from Old Town Cafe and wrote off the remainder owed on the sale of May 24
as uncollectible.
 Dec. 7. Reinstated the account of Old Town Cafe that had been written off on September 30 and received
$17,250 cash in full payment.

EX 8-5 Entries to write off accounts receivable.

Creative Solutions Company, a computer consulting firm, has decided to write off the $15,220 balance of an account
owed by a customer, Wil Treadwell. Journalize the entry to record the write-off, assuming that (a) the direct write-
off method is used and (b) the allowance method is used.