Determine the amount to be added to Allowance for Doubtful Accounts in each of the following cases and indicate the ending balance in each case. (a) Credit balance of $470 in Allowance for Doubtful Accounts just prior to adjustment. Analysis of Accounts Receivable indicates uncollectible receivables of $8,210. Amount added 7,350 X Ending balance 7,810 X (b) Credit balance of $470 in Allowance for Doubtful Accounts just prior to adjustment. Uncollectible receivables are estimated at 1% of credit sales, which totaled $1,158,000 for the year. Amount added 11,200 x Ending balance 11,660 X

Determine the amount to be added to Allowance for Doubtful Accounts in each of the following cases and indicate the ending balance in each case. (a) Credit balance of $470 in Allowance for Doubtful Accounts just prior to adjustment. Analysis of Accounts Receivable indicates uncollectible receivables of $8,210. Amount added 7,350 X Ending balance 7,810 X (b) Credit balance of $470 in Allowance for Doubtful Accounts just prior to adjustment. Uncollectible receivables are estimated at 1% of credit sales, which totaled $1,158,000 for the year. Amount added 11,200 x Ending balance 11,660 X

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter8: Receivables

Section: Chapter Questions

Problem 9E: Estimating allowance for doubtful accounts Evers Industries has a past history of uncollectible...

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