At the end of the current year, Accounts Receivable has a balance of $138,000; the opening balance of the Allowance for Doubtful Accounts was $1,450 and credit sales for the current year is $1,100,000, If estimated amount of uncollectible receivable was estimated at 1.5% of total sales, Calculate the estimated uncollectible value using the % of sales method.
Q: At the end of the current year, the accounts receivable account has a debit balance of $821,000 and…
A: Allowance for doubtful accounts is a contra asset for Accounts receivable and it must have credit…
Q: Jay Company provided the following data relating to accounts receivable for the current year:…
A: Total = Accounts receivable, Jan 1 + Credit Sale=650,000+2,700,000=3,350,000
Q: At December 31, Hawke Company reports the following results for its calendar year. Cash sales:…
A: Whenever a business makes credit sales, it will generate accounts receivables for the business.…
Q: At the beginning of current year, had a credit balance of P260,000 in the allowance for…
A: Following is the answer to the given question
Q: At the end of the current year, the accounts receivable account has a debit balance of $844,000 and…
A: Adjusting entry is the journal entry that has been made to record the adjustment of the accounts…
Q: At the beginning of the current period, Ayayai Corp. had balances in Accounts Receivable of $300,000…
A: For credit sales we should debit Account receivable account and credit sales revenue account.
Q: A trial balance before adjustments included the following: Sales - ₱425,000; sales returns and…
A: Estimated uncollectibles=Accounts receivables×10%=₱43,000×10%=₱4,300
Q: At the beginning of the current period, Tamarisk, Inc. had balances in Accounts Receivable of…
A: Accounts Receivable- It is the amount which has not been received by the company from its customers…
Q: At the end of the current year, Accounts Receivable has a balance of $555,000; Allowance for…
A: Solution a: Sales 2500000 *% of sales (1%*1/4) 0.25% Amount of Adjusting entry 6250…
Q: At the beginning of period, Ammar Co. had balances in account receivable of $ 400,000 an allowance…
A: Journal Entry is the first step in the recording process. In includes two column, debit and credit,…
Q: During the current year, Watanabe’s Camera Shop had sales revenue of $210,000, of which $86,400 was…
A: Here , to calculate the company bad debts expense , we need to prepare two account i.e. Account…
Q: At the end of the current year, Accounts Receivable has a balance of $665,000; Allowance for…
A: Estimated uncollectible amount = Sales *0.25% = $2990000*0.25% = $7475
Q: During the current year, Khan’s Camera Shop had sales revenue of $220,000, of which $100,800 was on…
A: Bad debts expense refers to an expense for recording accounts receivable which are uncollectible…
Q: At the end of the current year, Accounts Receivable has a balance of $635,000; Allowance for…
A: a. Amount for the adjusting entry = Sales x 0.25% = $2860000 x 0.25% = $7,150
Q: At the beginning of the current period, Kingbird, Inc. had balances in Accounts Receivable of…
A: Account receivable means the amount due from customer whom we sold the goods on credit. Allowance…
Q: The general ledger account for Accounts Receivable shows a debit balance of $50,000. Allowance for…
A: Under the aging method, first the post adjustment in allowance for doubtful accounts is computed.…
Q: Providing for Doubtful Accounts At the end of the current year, the accounts receivable account has…
A: Calculation of Bad debts expense Bad debts expense = Sales X Estimated percentage of bad debts…
Q: At the end of the year, Brinkley Incorporated’s balance of Allowance for Uncollectible Accounts is…
A:
Q: Dreamer Company reported the "Receivables" account with a debit balance of P2,000,000 at year-end.…
A: Accounts receivables:- Accounts receivables shows the amount of money which is due to a firm on…
Q: If the accounts receivable balance at December 31 was $200,000, what is the required adjustment to…
A: Answer: Option c.
Q: At the end of the fiscal year, accounts receivable has a balance of $100000 and allowance for…
A: Concept Net Realizable Value is book value of accounts receivable.It is calculated as by deducting…
Q: At the end of the current year, Accounts Receivable has a balance of $840,000; Allowance for…
A:
Q: At the end of the current year, the accounts receivable account has a debit balance of $636,000 and…
A: Doubtful accounts: Doubtful accounts means accounts receivable that might become uncollectible or…
Q: Martin Incorporated uses the percent-of-credit sales method to estimate uncollectibles. Total sales…
A: Bad debts expense = Credit sales x 5% Balance in allowance for uncollectible accounts after the…
Q: Credit sales during the year were $425,000, the Allowance for Uncollectible Accounts had a beginning…
A: Uncollectible Accounts Expense = Credit sales during the year x 2% of all credit sales
Q: At the beginning of period, Ammar Co. had balances in account receivable of $ 400,000 and allowance…
A: As per the guidelines, since the question has multiple sub-parts, the solution of the first four…
Q: At the beginning of the current period, Whispering Winds Corp. had balances in Accounts Receivable…
A: Table is as follows.
Q: At the end of the current year, Accounts Receivable has a balance of $700,000; Allowance for…
A: working notes: 1.( $ 3,500,000 * 0.50 % ) = $ 17,500 2.( $5500 + $17500 ) = $ 23,000
Q: At the end of October, Santa Fe Company’s management estimates the uncollectible accounts expense to…
A: The allowance for doubtful accounts is established to maintain the reserves for uncollectible…
Q: the end of the current year, the accounts receivable account has a debit balance of $1,184,000 and…
A: Answer to (A) Calculation of doubtful account amount : = Sales x 1% x (1/2) =13,420,000 x 1% x (1/2)…
Q: Credit sales during the year were $425,000, the Allowance for Uncollectible Accounts had a beginning…
A: Uncollectibles = Credit Sale ×2%=$425,000×2%=$8,500
Q: Milo Company uses the percent-of-sales method to estimate uncollectibles. Net credit sales for the…
A: Balance of allowance for uncollectible accounts after adjustments = $4,400 Less: wrote off old…
Q: At the end of the current year, the accounts receivable account has a debit balance of $881,000 and…
A: There are two methods of estimating allowance for doubtful debts, namely Percentage of Sales method…
Q: During the current year, the Dugan Co. had net credit sales of $750,000. On January 1, of the…
A: Allowance for Doubtful Accounts: Allowance for doubtful accounts is determined as the reduction in…
Q: At the end of the current year, Accounts Receivable has a balance of $800,000, Allowance for…
A: Solution a: the amount of the adjusting entry for uncollectible accounts =Required balance in…
Q: The allowance account before adjustment has a debit balance of $68,250. Bad debt expense is…
A:
Q: At the end of the year, Dahl Enterprises estimates the uncollectible accounts expense to be 0.8…
A: There are 2 methods for estimating bad debt expense: Percentage of sales method Percentage of…
Q: Tosh and Sons Inc. uses the percentage of receivables approach to estimate its uncollectible…
A: Allowance for Doubtful Accounts: Allowance for doubtful accounts is determined as the reduction in…
Q: amount of net accounts receivable after adjusting entries for 20X5 would be:
A: Increase in allowance for uncollectible = Final amount of allowance for uncollectible required -…
Q: Crimson Inc. recorded credit sales of $750,000, of which $600,000 is not yet due, $100,000 is past…
A: Allowance for Doubtful Accounts - Allowance Account is a contra assets prepare to record provision…
Q: Credit sales during the year were $425,000, the Allowance for Uncollectible Accounts had a beginning…
A: Uncollectible accounts are those accounts receivables from which amount due on credit sales will not…
Q: At the end of the current year, Accounts Receivable has a balance of $750,000; Allowance for…
A: This numerical has covered the concept of Accounts Receivable. By Solving this numerical we are able…
Q: At the beginning of the current year, Jamin Company had a credit balance of P260,000 in the…
A: Uncollectible account: When the company is unable to recover its accounts receivables within the…
Q: At the end of the current year, the accounts receivable account has a debit balance of $969,000 and…
A: Bad debts expense: Bad debts expense is recognized in the books of the company when a debtor is…
Q: A company has net credit sales of $750,000 for the year and it estimates that uncollectible accounts…
A: Lets start with understanding of bad debt and allowance for doubtful accounts, Bad debt means a debt…
Q: A trial balance before adjustments included the following: Sales - ₱425,000; sales returns and…
A: A trial balance is a list of all the ledger accounts with their closing balances reflecting on the…
Q: At the beginning of the current period, Cheyenne had balances in Accounts Receivable of $286,000 and…
A: working notes: bad dept expenses =$9,900 -$6,000.+$4,000-24,800 = $16,900
At the end of the current year,
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Jars Plus recorded $861,430 in credit sales for the year and $488,000 in accounts receivable. The uncollectible percentage is 2.3% for the income statement method, and 3.6% for the balance sheet method. A. Record the year-end adjusting entry for 2018 bad debt using the income statement method. B. Record the year-end adjusting entry for 2018 bad debt using the balance sheet method. C. Assume there was a previous debit balance in Allowance for Doubtful Accounts of $10,220, record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method. D. Assume there was a previous credit balance in Allowance for Doubtful Accounts of $5,470, record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method.At the end of 20-3, Martel Co. had 410,000 in Accounts Receivable and a credit balance of 300 in Allowance for Doubtful Accounts. Martel has now been in business for three years and wants to base its estimate of uncollectible accounts on its own experience. Assume that Martel Co.s adjusting entry for uncollectible accounts on December 31, 20-2, was a debit to Bad Debt Expense and a credit to Allowance for Doubtful Accounts of 25,000. (a) Estimate Martels uncollectible accounts percentage based on its actual bad debt experience during the past two years. (b) Prepare the adjusting entry on December 31, 20-3, for Martel Co.s uncollectible accounts.UNCOLLECTIBLE ACCOUNTSPERCENTAGE OF SALES AND PERCENTAGE OF RECEIVABLES At the completion of the current fiscal year ending December 31, the balance of Accounts Receivable for Yangs Gift Shop was 30,000. Credit sales for the year were 355,200. REQUIRED Make the necessary adjusting entry in general journal form under each of the following assumptions. Show calculations for the amount of each adjustment and the resulting net realizable value. 1. Allowance for Doubtful Accounts has a credit balance of 330. (a) The percentage of sales method is used and bad debt expense is estimated to be 2% of credit sales. (b) The percentage of receivables method is used and an analysis of the accounts produces an estimate of 6,950 in uncollectible accounts. 2. Allowance for Doubtful Accounts has a debit balance of 400. (a) The percentage of sales method is used and bad debt expense is estimated to be 1.5% of credit sales. (b) The percentage of receivables method is used and an analysis of the accounts produces an estimate of 5,685 in uncollectible accounts.
- UNCOLLECTIBLE ACCOUNTSPERCENTAGE OF SALES AND PERCENTAGE OF RECEIVABLES At the completion of the current fiscal year ending December 31, the balance of Accounts Receivable for Andersons Greeting Cards was 180,000. Credit sales for the year were 1,950,000. REQUIRED Make the necessary adjusting entry in general journal form under each of the following assumptions. Show calculations for the amount of each adjustment and the resulting net realizable value. 1. Allowance for Doubtful Accounts has a credit balance of 2,600. (a) The percentage of sales method is used and bad debt expense is estimated to be 1.5% of credit sales. (b) The percentage of receivables method is used and an analysis of the accounts produces an estimate of 30,250 in uncollectible accounts. 2. Allowance for Doubtful Accounts has a debit balance of 1,900. (a) The percentage of sales method is used and bad debt expense is estimated to be 1.0% of credit sales. (b) The percentage of receivables method is used and an analysis of the accounts produces an estimate of 20,500 in uncollectible accounts.Last year, Tobys Hats had net sales of 45,000,000 and cost of goods sold of 29,000,000. Tobys had the following balances: Refer to the information for Tobys on the previous page. Required: Note: Round answers to one decimal place. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.Tonis Tech Shop has total credit sales for the year of 170,000 and estimates that 3% of its credit sales will be uncollectible. Allowance for Doubtful Accounts has a credit balance of 275. Prepare the adjusting entry at year-end for the estimated bad debt expense. (a) Based on an aging of its accounts receivable, Kyles Cyclery estimates that 3,200 of its year-end accounts receivable will be uncollectible. Allowance for Doubtful Accounts has a debit balance of 280 at year-end. Prepare the adjusting entry at year-end for the estimated uncollectible accounts.
- Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000. Nikkola had the following balances: Refer to the information for Nikkola Company above. Required: Note: Round answers to one decimal place. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.Ink Records recorded $2,333,898 in credit sales for the year and $1,466,990 in accounts receivable. The uncollectible percentage is 3% for the income statement method and 5% for the balance sheet method. A. Record the year-end adjusting entry for 2018 bad debt using the income statement method. B. Record the year-end adjusting entry for 2018 bad debt using the balance sheet method. C. Assume there was a previous credit balance in Allowance for Doubtful Accounts of $20,254; record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method.Bristax Corporation recorded $1,385,660 in credit sales for the year, and $732,410 in accounts receivable. The uncollectible percentage is 3.1% for the income statement method and 4.5% for the balance sheet method. A. Record the year-end adjusting entry for 2018 bad debt using the income statement method. B. Record the year-end adjusting entry for 2018 bad debt using the balance sheet method. C. Assume there was a previous debit balance in Allowance for Doubtful Accounts of $20,550; record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method. D. Assume there was a previous credit balance in Allowance for Doubtful Accounts of $17,430; record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method.
- Accounts Receivable Balance Hart Inc. began the year with $315,700 of accounts receivable. During the year, Hart sold a considerable amount of merchandise on credit and collected $2,427,000 of its credit sales. At the end of the year, the accounts receivable balance is $16,800 lower than the beginning balance. Required: Calculate the amount of credit sales during the period.Casebolt Company wrote off the following accounts receivable as uncollectible for the first year of its operations ending December 31: a. Journalize the write-offs under the direct write-off method. b. Journalize the write-offs under the allowance method. Also, journalize the adjusting entry for uncollectible accounts. The company recorded 5,250,000 of credit sales during the year. Based on past history and industry averages, % of credit sales are expected to be uncollectible. c. How much higher (lower) would Casebolt Companys net income have been under the direct write-off method than under the allowance method?Whalen Company had net sales of 125,500,250,000. Whalen had the following balances: Required: Note: Round answers to two decimal places. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.