Question

sel, Inc. reported net sales revenue of $600,000 in 2018 and $500,000 in 2019. The company’s...

sel, Inc. reported net sales revenue of $600,000 in 2018 and $500,000 in 2019. The company’s ending net receivables were $120,000 during 2017 and $130,000 during 2018. At December 31, 2019, the company had Accounts Receivable of $148,000 and an unadjusted debit balance in its Allowance for Doubtful Accounts account of $1,000. The company reported Bad Debt Expense of $6,000 during 2019.

Required:

  1. Determine the net receivables at December 31, 2019.
  2. Calculate the receivables turnover ratio for 2018 and 2019.
  3. Calculate the days to collect for 2018 and 2019.
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1


0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
in 2018, Oriole Company had net credit sales of $1125300. On January 1, 2018, Allowance for...
in 2018, Oriole Company had net credit sales of $1125300. On January 1, 2018, Allowance for Doubtful Accounts had a credit balance of $26100. During 2018, $42000 of uncollectible accounts receivable were written off. Past experience indicates that the allowance should be 12% of the balance in receivables (percentage of receivables basis). If the accounts receivable balance at December 31 was $376000, what is the required adjustment to the Allowance for Doubtful Accounts at December 31, 2018? $45120 $29220 $119136...
Grayhawk Company reported net credit sales of $588,000 for the year ending December 31, 2019. On...
Grayhawk Company reported net credit sales of $588,000 for the year ending December 31, 2019. On January 1, 2019, the Allowance for Doubtful Accounts had a credit balance of $14,400. During 2019, $24,000 of uncollectible accounts receivable were written off. Grayhawk has experienced bad debt losses of 3% of credit sales in prior periods. Using the percentage of credit sales method, what is the adjusted balance in the Allowance for Doubtful Accounts at December 31, 2019? A) $17, 640 B)...
Dorchester Company had the following balances at the end of 2018 and 2019 respectively: Net Credit...
Dorchester Company had the following balances at the end of 2018 and 2019 respectively: Net Credit Sales - $825,000 for 2018 and $932,000 for 2019. Accounts Receivable - $80,000 for 2018 and $95,000 for 2019. Allowance for Doubtful Accounts - $6,000 for 2018 and 5,500 for 2019 Calculate the accounts receivable turnover ratio to one decimal place.
A series of unrelated situations follow for several companies that use ASPE: A. Skysong Inc.’s unadjusted...
A series of unrelated situations follow for several companies that use ASPE: A. Skysong Inc.’s unadjusted trial balance at December 31, 2020, included the following accounts: Debit Credit Allowance for doubtful accounts $8,600 Sales revenue $2,070,000 Sales returns and allowances 60,500 Sales discounts 4,800 Skysong estimates its bad debt expense to be 2.0% of net sales. Determine its bad debt expense for 2020. (Round answer to 0 decimal places, e.g. 58,971.) B. An analysis and aging of Grouper Corp.’s accounts...
Our company had the following normal account balances prior to any adjustments being made: Sales $500,000...
Our company had the following normal account balances prior to any adjustments being made: Sales $500,000 Accounts Receivable $1,000,000 Allowance for Doubtful Accounts $13,000 credit balance Credit Sales $190,000 Sales Returns $50,000 Based on this information, answer questions 29 – 31 If we believe that 2 percent of Credit Sales will be uncollectable, we should make the following journal entry: Debit Bad Debt Expense $3,800, credit Allowance for Doubtful Accounts $3,800. Debit Bad Debt Expense $2,000, credit Allowance for Doubtful...
1. Kingbird Company’s unadjusted trial balance at December 31, 2020, included the following accounts. Debit Credit...
1. Kingbird Company’s unadjusted trial balance at December 31, 2020, included the following accounts. Debit Credit Accounts receivable $55,400 Allowance for doubtful accounts 5,960 Net sales $1,262,800 Kingbird Company estimates its bad debt expense to be 6% of gross accounts receivable. Determine its bad debt expense for 2020. Bad debt expense for 2020 $ 3. Waterway Co. provides for doubtful accounts based on 2% of gross accounts receivable, The following data are available for 2020. Credit sales during 2020 $4,351,800...
The Accounts Receivable balance for Wedge Company at December​ 31, 2017​, was $ 28000. During 2018​,...
The Accounts Receivable balance for Wedge Company at December​ 31, 2017​, was $ 28000. During 2018​, Wedge earned revenue of $ 452000 on account and collected $ 330 000 on account. Wedge wrote off $ 6000 receivables as uncollectible. Industry experience suggests that uncollectible accounts will amount to 6​% of accounts receivable. Requirement 1. Assume Wedge had an unadjusted $ 2100 credit balance in Allowance for Bad Debts at December ​31, 2018. Journalize Wedge​'s December ​31, 2018​, adjustment to record...
Dorchester Company had the following balances at the end of 2018 and 2019 respectively: Net Credit...
Dorchester Company had the following balances at the end of 2018 and 2019 respectively: Net Credit Sales - $835,000 for 2018 and $982,000 for 2019. Accounts Receivable - $80,000 for 2018 and $103,000 for 2019. Allowance for Doubtful Accounts - $5,000 for 2018 and 7,500 for 2019 Calculate the accounts receivable turnover ratio to one decimal place.
Accounting for Receivables Solve the Following Problems At December 31, 2019, Carl’s Toys had a balance...
Accounting for Receivables Solve the Following Problems At December 31, 2019, Carl’s Toys had a balance of $248,100 in its Accounts Receivable account and a credit balance of $900 in its Allowance for Doubtful Accounts account. Carl’s Toys analyzed and aged its accounts receivable based on the following estimated uncollectible amounts: Age of Accounts Receivables Balance Estimated % Uncollectible Current $ 130,500 0.6% 31 to 60 day 66,300 2.0% 61 to 90 days 26,700 5.5% Over 91 days    24,600...
Information related to accounts receivable is given: Mobile Technology Ltd. reported an unadjusted balance of accounts...
Information related to accounts receivable is given: Mobile Technology Ltd. reported an unadjusted balance of accounts receivable of $1,250,000 at 31 December 20X3, along with a credit balance in the allowance for doubtful accounts of $84,400 and an allowance for sales discounts of $7,300. At year-end, the company determined that an allowance of $18,000 for sales discounts was needed. It also decided that $56,000 of accounts receivable were uncollectible and should be written off. Of the remaining receivables, it was...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT