I understand it but when I watch the video tutorial The horizontal statements model that they used was more in depth and had more sections for accounts to place numbers in so I'm just confused where exactly need to put the transactions go because this model feels crammed.
The accounts receivable balance for Renue Spa at December 31, Year 1, was $89,000. Also on that date, the balance in the Allowance for Doubtful Accounts was $2,500. Total retained earnings at the end of Year 1 was $86,500. During Year 2, $2,500 of accounts receivable were written off as uncollectible. In addition, Renue unexpectedly collected $180 of receivables that had been written off in a previous accounting period. Services provided on account during Year 2 were $218,000, and cash collections from receivables were $220,000. Uncollectible accounts expense was estimated to be 1 percent of the sales on account for the period. Required a. Organize the information in accounts under an accounting equation.