Journalize transactions related to bad debts. P9.4A (LO 2) Writing Rigney Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end. P18 Home Insert Page Layout Formulas B Total Accounts receivable 200,000 5% uncollectible 6 Estimated bad debts Worksheet Data Review View C 0-30 77,000 1% E Number of Days Outstanding 31-60 61-90 39,000 46,000 4% 5% Instructions a. Calculate the total estimated bad debts based on the information provided. b. Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined in (a). Assume the current balance in Allowance for Doubtful Accounts is a $8,000 debit. c. Of the above accounts, $5,000 is determined to be specifically uncollectible. Prepare the journal entry to write off the uncollectible account. G 91-120 Over 120 23,000 8% 15,000 20% Problems: Set A 9-35 a. Tot. est. bad debts $9,400

Journalize transactions related to bad debts. P9.4A (LO 2) Writing Rigney Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end. P18 Home Insert Page Layout Formulas B Total Accounts receivable 200,000 5% uncollectible 6 Estimated bad debts Worksheet Data Review View C 0-30 77,000 1% E Number of Days Outstanding 31-60 61-90 39,000 46,000 4% 5% Instructions a. Calculate the total estimated bad debts based on the information provided. b. Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined in (a). Assume the current balance in Allowance for Doubtful Accounts is a $8,000 debit. c. Of the above accounts, $5,000 is determined to be specifically uncollectible. Prepare the journal entry to write off the uncollectible account. G 91-120 Over 120 23,000 8% 15,000 20% Problems: Set A 9-35 a. Tot. est. bad debts $9,400

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 6PA: Funnel Direct recorded $1,345,780 in credit sales for the year and $695,455 in accounts receivable....

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Nillsons Nursery uses the direct write-off method for recording bad debts. Required Journalize the following selected entries: 2012 Apr. 10Write off the account of P. A. Seldon as uncollectible, 458. July 27Write off the account of J. M. Weller as uncollectible, 268. Check Figure Total amount debited to Bad Debts Expense 726
Funnel Direct recorded $1,345,780 in credit sales for the year and $695,455 in accounts receivable. The uncollectible percentage is 4.4% for the income statement method and 4% 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 $13,888; record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method.
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Doer Company reports year-end credit sales in the amount of $390,000 and accounts receivable of $85,500. Doer uses the income statement method to report bad debt estimation. The estimation percentage is 3.5%. What is the estimated balance uncollectible using the income statement method? A. $13,650 B. $2,992.50 C. $136,500 D. $29,925
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