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MBA, Ph.D in Management
Harvard university
Feb-1997 - Aug-2003
Professor
Strayer University
Jan-2007 - Present
during 2012, Lozier Inc. had credit sales of $2,600,000 and 80 percent of the credit sale was collected in cash. the company estimated that 2 percent of the credit sales would be uncollectible. during the next year 2013 one of Lozier’s credit costumer, Al Cajon company, with an account balance of $3,500, was judged to be uncollectible and written off.
Â
Prepare the necessary journal entries to record:
Â
a.  The credit sales during 2012
b.  The collection of cash from credit sales during 2012
c.  The bad debt expense estimate for 2012
d.  The write-off the El Cajon account in 2013 Â
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