journal entry worksheet\n1\nassuming an unadjusted credit balance of $140, record the required adjustment to…

Explanation:

Step1: Identify the account to debit

The account to debit is Bad - Debt Expense as we are adjusting for doubtful accounts. Bad - Debt Expense

Step2: Determine the amount

Since no information about the required adjusted balance is given, assuming we need to increase the allowance to a certain amount, if we just want to adjust based on the existing unadjusted balance situation, we may need to record an amount to bring the allowance to an appropriate level. But without more data, if we assume we are just making a basic adjustment to recognize potential bad debts related to the existing unadjusted balance, we debit Bad - Debt Expense and credit Allowance for Doubtful Accounts. The amount of the adjustment is not fully clear from the given information. But if we assume we are just making a simple adjustment related to the unadjusted balance, we can record an amount equal to what is needed to properly state the allowance. Here, if we assume no other information and just a basic adjustment, we can record an amount such that the allowance is properly stated. Let's assume we need to increase it by an amount (if more data was given we could calculate exactly). For simplicity, if we assume we are just making a standard adjustment related to the unadjusted balance, we record an amount. Since the unadjusted credit balance is $140, and assuming we are just making a basic adjustment, we have the following journal entry. Debit: Bad - Debt Expense (amount as per proper calculation which is not fully given; for basic entry related to unadjusted balance we can record an appropriate amount, say if no other data $140 for a simple case) Credit: Allowance for Doubtful Accounts $140

Answer:

Date	General Journal	Debit	Credit
December 31	Bad - Debt Expense	$140$
December 31	Allowance for Doubtful Accounts		$140$