Accounts receivable

http://www.youtube.com/watch?v=RRfbSCr9avM&feature=autoplay&list=PL55FF496411ACF0A3&playnext=4

Sale on account

Dr:  Account /Receivable

Cr: sales

Return

Dr: sales or sales Return and allowance

Cr: Account /Receivable

Collect

Dr: cash

Cr: A/R

Rollover

Dr: Notes/Receivable

Cr: Account /Receivable

Write off

Dr: allowance for doubtful account

Cr: Account /Receivable

Adjusting entries

Dr: Bad debt expense      XX

Cr: Allowance for doubtful account    XX

Estimate allowance for doubtful account, two ways to get this

(1)% of sales method gives you the amount of adjusting journal entries, whatever the percentage of net sale, which is the amount (XX) of adjusting journal entries

Or

(2)Aging of account receivable= end balance allowance (find the difference between the current balance in the allowance and the desired ending balance, the difference is the amount ( XX ) follow the allowance for doubtful account)