Brief Exercise 8-4 At the end of 2013, Morley Co. has accounts receivable of $857,600 and an allowance for doubtful accounts of $25,670. 1. On January 24, 2014, it is learned that the company’s receivable from Spears In is not collectible and therefore management authorizes a write-off of $5,630. c. 2. On March 4, 2014, Morley Co. receives payment of $5,630 in full from Spears Inc. Prepare the journal entries to record this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Debit Credit No. Account Titles and Explanation To record recovery of accounts receivable.) (To record collection of accounts receivable.)



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