On January 1, Year 2, Kincaid Company's Accounts Receivable and
the Allowance for Doubtful Accounts carried...
On January 1, Year 2, Kincaid Company's Accounts Receivable and
the Allowance for Doubtful Accounts carried balances of $31,000 and
$500, respectively. During the year Kincaid reported $72,500 of
credit sales. Kincaid wrote off $550 of receivables as
uncollectible in Year 2. Cash collections of receivables amounted
to $74,550. Kincaid estimates that it will be unable to collect one
percent (1%) of credit sales.
Kincaid's entry required to recognize the write off of the
uncollectible accounts will:
Multiple Choice
Increase...
Quality Book Sales began Year 2 with $78,500
Accounts Receivable and $4,710 Allowance for Doubtful Accounts....
Quality Book Sales began Year 2 with $78,500
Accounts Receivable and $4,710 Allowance for Doubtful Accounts.
During the year, Quality experienced the following
transactions:
Sales on Account $550,000
Collection on Accounts Receivable $556,000
After several collection attempts, wrote off $2,850 of accounts
that could not be collected.
Estimated 4% of receivables are uncollectible.
What is the balance in Accounts Receivable immediately after the
write-off in #3 above?
What is the balance in the Allowance for Doubtful Accounts
immediately after the...
On January 1, 2019, Hungryman, Inc., has the following balances
for accounts receivable and allowance for...
On January 1, 2019, Hungryman, Inc., has the following balances
for accounts receivable and allowance for doubtful accounts:
Accounts Receivable $1,272,400 Allowance for Doubtful Accounts (a
credit balance) 46,000 During 2019, Hungryman had $18,900,000 of
credit sales, collected $17,945,000 of accounts receivable, and
wrote off $60,000 of accounts receivable as uncollectible. At year
end, Hungryman performs an aging of its accounts receivable balance
and estimates that $52,000 will be uncollectible. Required:
1. Calculate Hungryman's preadjustment balance in accounts
receivable on...
A company's year-end unadjusted trial balance shows accounts
receivable of $109,000, allowance for doubtful accounts of...
A company's year-end unadjusted trial balance shows accounts
receivable of $109,000, allowance for doubtful accounts of $600
(credit), & sales of $325,000. Uncollectibles are estimated to
be 2.5% of accounts receivable.
1. Prepare the December 31 year-end adjusting entry for
uncollectible.
2. Assume the same facts as in PART A except that the company
estimates uncollectible as 2.0% of sales. Prepare the December 31
year-end adjusting entry for uncollectible.
At the end of the current year, Accounts Receivable has a
balance of $550,000; Allowance for...
At the end of the current year, Accounts Receivable has a
balance of $550,000; Allowance for Doubtful Accounts has a credit
balance of $5,500; and sales for the year total
$2,500,000. An analysis of receivables estimates
uncollectible receivables as $25,000.
?
Determine (a) the amount of the adjusting entry for bad debt
expense; (b) the adjusted balances of Accounts Receivable,
Allowance for Doubtful Accounts, and Bad Debt Expense; and (c) the
net realizable value of accounts receivable.
following balances:
Accounts receivable $ 12,700
Allowance for doubtful accounts $ 300 (Credit Balance)
Net Credit...
following balances:
Accounts receivable $ 12,700
Allowance for doubtful accounts $ 300 (Credit Balance)
Net Credit Sales $ 640,000
a. If the company estimates that 1% of its net credit sales will
be uncollectible, what would the journal entry look like?
b. If the company estimates that 10% of its accounts receivables
will be uncollectible, what would the journal entry look like?
c. What is the net present value for both (a and b)?
Aging Method
On January 1, 2019, Smith, Inc., has the following balances for
accounts receivable and...
Aging Method
On January 1, 2019, Smith, Inc., has the following balances for
accounts receivable and allowance for doubtful accounts:
Accounts Receivable
$381,000
Allowance for Doubtful Accounts (a credit balance)
3,900
During 2019, Smith had $2,850,000 of credit sales, collected
$2,905,000 of accounts receivable, and wrote off $3,850 of accounts
receivable as uncollectible. At year end, Smith performs an aging
of its accounts receivable balance and estimates that $3,800 will
be uncollectible.
Required:
1. Calculate Smith's preadjustment
balance in accounts receivable...
At January 1, 2023, Vy6r3 Company had accounts receivable of
$220,000 and an allowance for doubtful...
At January 1, 2023, Vy6r3 Company had accounts receivable of
$220,000 and an allowance for doubtful accounts with a $15,000
credit balance.
During 2021, Vy6r3 Company reported the following information:
Write-offs of uncollectible accounts ................ $ 39,260
Cash collections from credit customers ..............
$165,210
Net credit sales ....................................
$363,560
Recoveries of previously written-off accounts ....... $
13,640
Vy6r3 Company estimates bad debt expense using the net credit
sales method and has estimated that 5% of its net credit sales will...
The following information is for WATCHOUT Company. Accounts
Receivable, January 1st $ 75,000 Allowance for Doubtful...
The following information is for WATCHOUT Company. Accounts
Receivable, January 1st $ 75,000 Allowance for Doubtful Accounts,
January 1st $ 8,000 Credit Sales during the year $ 600,000 Credit
Sales Returns during the year $ 25,000 Accounts written off during
the year $ 3,000 WATCHOUT estimates that uncollectible accounts
will total 3% of accounts receivable. What is the adjusting entry
WATCHOUT will make for uncollectible accounts?
Determine the amount to be added to Allowance for Doubtful
Accounts in each of the following...
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 $380 in Allowance for
Doubtful Accounts just prior to adjustment. Analysis of Accounts
Receivable indicates uncollectible receivables of $7,370.
Amount added
$
Ending balance
$
(b) Credit balance of $380 in Allowance for
Doubtful Accounts just prior to adjustment. Uncollectible
receivables are estimated at 3% of credit sales, which totaled
$940,000...