Objective: Record a bad debt write-off and a monthly depreciation entry.
1. Write-Off Bad Debt:
◦ Go to Transactions > Accounts Receivable > Revenue Journal.
◦ Check the Credit Memo box in the Options area.
◦ Client: Select a client (e.g., “County School District”).
◦ Amount: 50.00.
◦ Distribution: Select an expense account (e.g., “Bad Debt” or “Miscellaneous Expense”).
◦ Click Save.
2. Record Depreciation:
◦ Go to Transactions > General Journal > Journal Entries.
◦ Memo: “Monthly Computer Depreciation”.
◦ Line 1: Account “Depreciation Expense,” Debit 100.00.
◦ Line 2: Account “Accumulated Depreciation,” Credit 100.00.
◦ Check that the Balance displayed is 0.00.
◦ Click Save.