b. During 2024, credit sales were $1,273,000; sales discounts taken were $24,000; accounts receivable collected were $1,084,300; and accounts written off during the year totalled $25,000. Prepare the adjusting entry required on December 31, 2024, to estimate uncollectible receivables assuming it is based on the following aging analysis. December 31, 2024 Accounts Receivable $250,000 77,000 22,000 16,000 Age of Accounts Receivable Not due (under 30 days) 1 to 30 days past due 31 to 60 days past due Over 60 days past due Expected Percentage Uncollectible 1% 4% 10% 60% View transaction list View journal entry worksheet General Journal No Date 1 December 31, 2024 Bad debt expense Allowance for doubtful accounts Debit Credit

b. During 2024, credit sales were $1,273,000; sales discounts taken were $24,000; accounts receivable collected were $1,084,300; and accounts written off during the year totalled $25,000. Prepare the adjusting entry required on December 31, 2024, to estimate uncollectible receivables assuming it is based on the following aging analysis. December 31, 2024 Accounts Receivable $250,000 77,000 22,000 16,000 Age of Accounts Receivable Not due (under 30 days) 1 to 30 days past due 31 to 60 days past due Over 60 days past due Expected Percentage Uncollectible 1% 4% 10% 60% View transaction list View journal entry worksheet General Journal No Date 1 December 31, 2024 Bad debt expense Allowance for doubtful accounts Debit Credit

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 6MC: Prior to adjustments, Barrett Companys account balances at December 31, 2019, for Accounts...

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Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120 in its accounts receivable. Additionally, Karras had a credit balance in its allowance for doubtful accounts of 4,350 and 9,420 at the beginning and end of the year, respectively. During the year, Karras made credit sales of 1,530,000, collected receivables in the amount of 1,445,700, and recorded bad debt expense of 83, 750. Required: Next Level Compute the amount of accounts receivable that Karras wrote off during the year and the amount of accounts receivable at the beginning of the year.
The Phillips Company gathered the following information pertaining to its year ended December 31, 2020 prior to any adjustments: Net Sales for the Year $780,000 Accounts Receivable, 12/31 165,000 Allowance for Uncollectible Accounts, 12/31 2,200 Debit Assume that Phillips uses the percentage of outstanding accounts receivable method for uncollectible amounts. An aging of accounts receivable indicates that $9,550 will be uncollectible. Phillips will report the following amounts in its 2020 financial statements: Select one: a. Bad debts expense $11,750; Net accounts receivable $155,450 b. Bad debts expense $9,550; Net accounts receivable $155,450 c. Bad debts expense $9,550; Net accounts receivable $157,650 d. Bad debts expense $1,750; Net accounts receivable $157,650 e. Bad debts expense $7,350; Net accounts receivable $157,650
GIVEN: THE ESTIMATED PERCENTAGE OF UNCOLLECTIBLE ACCOUNTS RECEIVABLE FOR THE YEAR 2020 IS 5% THE GROSS RECEIVABLE IS 844,000 AND THE ALLOWANCE FOR BAD DEBTS IS 238,000 1. record the adjusting entries for the provision of the estimated uncollectible accounts receivable on dec 31,2020 if the 5% is applied to the gross receivable. 1. DR. =? 2.=? 3. CR. =? 4. =? 2. record the adjusting entries for the provision og the estimated uncollectible accounts receivable on dec 31, 2020 if the 7% is applied to gross receivable/ 5. DR. =? 6. =? 7. CR. =? 8. =? Choose from the following accounts for the correct account of adjusting entries: A. ACCUMULATED DEPRECIATION - EQUIPMENT B. ALLOWANCE FOR DOUBTFUL ACCOUNTS C. ACCOUNTS RECEIVABLE D. BAD DEBTS EXPENSE E. DEPRECIATION EXPENSE F. EQUIPMENT
The following data are taken from the financial statements of Pharoah Company. 2021 2020 Accounts receivable, end of year $559,500 $ 579,000 Net credit sales 4,098,600 3,385,125 Terms for all sales are 1/10, n/60.
Lyka Co. determined that the net value of its accounts receivable at December 31, 2020,based on an aging of the receivables, was P325,000. Additional information is as follows:Allowance for uncollectible accounts—1/1/20 30,000Uncollectible accounts written off during 2020 18,000Uncollectible accounts recovered during 2020 2,000Accounts receivable at 12/31/20 350,0001. For 2020, what would be Inge’s uncollectible accounts expense? __________ 2. At January 1, 2020, Jamin Co. had a credit balance of P260,000 in its allowance for uncollectible accounts. Based on past experience, 2% of Jamin’s credit sales have been uncollectible. During 2020 Jamin wrote off P325,000 of uncollectible accounts. Credit sales for 2020 were P9,000,000. In its December 31, 2020 balance sheet, what amount should Jamin report as allowance for uncollectible accounts? __________
Assume credit sales for 2019 were $312,000 and that on December 31, 10% of credit sales are estimated to be uncollectible. Using the percentage of sales method: Determine the amount to be charged to the uncollectible expense account. Prepare the Allowance for uncollectible account. Prepare the balance sheet extract to show the net realizable value of the Accounts Receivable as at December 31.
Before year-end adjusting entries, VKS Company's account balances at December 31, 2021, for accounts receivable and the related allowance for uncollectible accounts were P500,000 and P45,000, respectively. An aging of accounts receivable indicated that P62,500 of the December 31 receivables are expected to be uncollectible. How much is the net realizable value of accounts receivable after adjustment?
Presented below is information related to the Accounts Receivable accounts of Gulistan Inc. during the current year 2020. 1. An aging schedule of the accounts receivable as of December 31, 2020, is as follows. Age Net Debit Balance % to Be Applied afterCorrection Is Made Under 60 days $172,342 1% 60–90 days 136,490 3% 91–120 days 39,924* 6% Over 120 days 23,644 $3,700 definitely uncollectible;estimated remainderuncollectible is 25% $372,400 *The $3,240 write-off of receivables is related to the 91-to-120 day category. 2. The Accounts Receivable control account has a debit balance of $372,400 on December 31, 2020. 3. Two entries were made in the Bad Debt Expense account during the year: (1) a debit on December 31 for the amount credited to Allowance for Doubtful Accounts, and (2) a credit for $3,240 on November 3, 2020, and a debit to Allowance for Doubtful Accounts because of a bankruptcy. 4. Allowance for Doubtful Accounts is as…
c. On December 31, 2019, an aging-of-receivables, indicates that $41 million of the total receivables of $444 million is uncollectible at year-end. Record doubtful-account expense at December 31, 2019. Post this amount to Allowance for Doubtful Accounts, and show its adjusted balance at December 31, 2019. Begin by preparing the journal entry. Date C. Journal Entry Accounts Doubtful-Account Expense Allowance for Doubtful Accounts ▼ Debit Credit Choose from any list or enter any number in the input fields and then click Check Answer. i Data Table Accounts receivable Allowance for doubtful accounts Print Done (In millions) $ 381 (52) x
43. The uncollectible accounts expense for the year ended December 31, 2022 is? After reviewing the aging schedule of its accounts receivable at December 31, 2022, Pacers Company found out that the net realizable value of the receivables at that date was P150,250. Additional information as follows: Accounts receivable at December 31, 2022 Allowance for uncollectible accounts, January 1, 2022 Accounts written off, October 20, 2022 P192,500 28,000 21,000
Analysis of Receivables Method At the end of the current year, Accounts Receivable has a balance of $4,375,000; Allowance for Doubtful Accounts has a debit balance of $21,300; and sales for the year total $102,480,000. Using the aging method, the balance of Allowance for Doubtful Accounts is estimated as $205,000. a. Determine the amount of the adjusting entry for uncollectible accounts. b. Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense. Accounts Receivable Allowance for Doubtful Accounts Bad Debt Expense c. Determine the net realizable value of accounts receivable.
In preparing the aging of accounts receivable Liza Inc., the accountant determined that the net realizable value of receivables is P4,000,000 on December 31, 2021. Additional data are as follows: Accounts Receivable (December 31, 2021) - 4,500,000 Accounts Receivable - Net (December 31, 2020) - 2,000,000 Accounts Receivable (January 1, 2021) - 2,350,000 Accounts written off during 2020 - 100.000 How much is the doubtful accounts expense for 2021?