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Swathmore Clothing Corporation grants its customers 30 days’ credit. The company uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by multiplying 3% times the amount of credit sales for the month. At the fiscal year-end of December 31, an aging of accounts receivable schedule is prepared and the allowance for uncollectible accounts is adjusted accordingly.At the end of 2010, accounts receivable were $574,000 and the allowance account had a credit balance of $54,000. Accounts receivable activity for 2011 was as follows:Collections (2,483,000) Write-offs (68,000) The company’s controller prepared the following aging summary of year-end accounts receivable: Summary Age Group Amount Percent Uncollectible 0–60 days$ 430,000 4% 61–90 days 98,000 15 91–120 days 60,000 25 Over 120 days 55,000 40 Total$ 643,000 Required:(1)Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. (Omit the “$” sign in your response.)General Jo
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