Acc560 Managerial Accounting: P9-7B On Jan 1, 2008 Frybendall Co had accounts receivable

Acc560 Managerial Accounting
P9-7B
On Jan 1, 2008 Frybendall Co had accounts receivable $56,900 and allowance for Doubtful Accounts $4,700. Frybendall Co. prepares financial statements annually. During the year the following selected transactions occurred.
Jan 5- Sold $6,300 of merchandise to Klosterman Company, terms n/30.
Feb 2- Accepted a $6,300, 4-month, 10% promissory note from Klosterman Company for the balance due.
Feb 12- Sold $7,800 of merchandise to Menard Company and accepted Menards &7,800, 2-month , 10% note for the balance due.
Feb 26- Sold $4,000 of merchandise to Louk Co., terms n/10.
Apr. 5 Accepted a $4,000, 3-month, 8% note from Louk Co. for the balance due.
Apr 12- Collected Menard Company note in full.
June 2- Collected Klosterman Company note in full.
July 5- Louk Co. dishonors its not of April 5. It is expected that Louk will eventually pay the amount owed.
July 15- Sold $7,000 of merchandise to Peck Co. and accepted Pecks $7,000, 3-month, 12% note for the amount due.
Oct 15- Peck Co's note was dishonored. Peck co is bankrupt and there is no hope of future settlement.

Instructions:
Journalize the transactions.
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