1.
Determine the closing balance of allowance for doubtful accounts as follows:
December 31, Accounts receivable | Age of account receivable | % uncollectible | Allowance for doubtful accounts |
830000 | Not yet due | 1.25 | 10375 |
254000 | 1-30 days past due | 2 | 5080 |
86000 | 31-60 days past due | 6.5 | 5590 |
38000 | 61-90 days past due | 32.75 | 12445 |
12000 | over 90 days past due | 68 | 8160 |
41650 |
2.
Prepare the adjusting entries as follows:
No | Accounts | Debit | Credit |
Dec-31 | Bad debt expenses | 27150 | |
Allowance for doubtful accounts | 27150 | ||
(41650 - 14500) |
3.
There will be no effect on net income by writing off account receivables. The net income will be affected by the bad debt expense. As the write off entry will be:
Allowance for doubtful accounts Dr
Accounts receivable
and it will not create any effect on net income.
Allowance for doubtful accounts. $1.270.100 debit 16.580 den E Received SA 1. In adjusting will be...
On December 31, Jarden Co.'s Allowance for Doubtful Accounts has an unadjusted credit balance of $14,500. Jarden prepares a schedule of its December 31 accounts receivable by age. Required Compute the required balance of the Allowance for Doubtful Accounts at December 31 using an aging of accounts receivable.2. Prepare the adjusting entry to record bad debts expense at December 31. 3. On June 30 of the next year, Jarden concludes that a customer's $4,750 receivable is uncollectible and the account is written off....
Required information Problem 9-3A Aging accounts receivable and accounting for bad debts LO P2, P3 The following information applies to the questions displayed below.] Jarden Company has credit sales of $2,400,000 for year 2017. On December 31, 2017, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $14,904. Jarden prepares a schedule of its December 31, 2017, accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category...
Jarden Company has credit sales of $2,300,000 for year 2017. On December 31, 2017, the company’s Allowance for Doubtful Accounts has an unadjusted credit balance of $18,370. Jarden prepares a schedule of its December 31, 2017, accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category that will become uncollectible. This information is summarized here. December 31, 2017 Accounts Receivable Age of Accounts Receivable Expected Percent Uncollectible $ 460,000 Not...
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Required information Problem 9-3A Aging accounts receivable and accounting for bad debts LO P2, P3 [The following information applies to the questions displayed below.] Jarden Company has credit sales of $2,200,000 for year 2017. On December 31, 2017, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $14,666. Jarden prepares a schedule of its December 31, 2017 accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category...
(1c) $27,000 2 Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 3. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 At December 31, Hovak Co.'s Allowance for Doubtful Accounts has an unadjusted debit balance of s past-due c. An aging analysis estimates that 6% of year-end accounts receivable are uncollectible. prg 4 balance sheet given the facts in part la halance sheet given the facts in...
Check my work Required information Problem 9-3A Aging accounts receivable and accounting for bad debts LO P2, P3 The following information applies to the questions displayed below.) Jarden Company has credit sales of $2,100,000 for year 2017. On December 31, 2017, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $15,706. Jarden prepares a schedule of its December 31, 2017 accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in...
Problem 7-3A Aging accounts receivable and accounting for bad debts LO P2, P3 Jarden Company has credit sales of S2,900,000 for year 2017. On December 31. 2017, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of S22.580. Jarden prepares a schedule of its December 31, 2017, accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category that will become uncollectible. This information is summarized here. Problem 7-3A Port 2 2....
2. Champ Corporation has a $300 credit balance in Allowance for Doubtful Accounts at December 31, 2017, before the current year's entry for bad debt expense. The age data of accounts receivable is as follows: Estimated Percentage Uncollectible 1% 3% 6% 15% 30% Current Accounts 1-30 days past due 31-60 days past due 61-90 days past due Over 90 days past due Total Accounts Receivable $170,000 15,000 12,000 5,000 9,000 $211.000 (a) Make the bad debts expense adjusting journal entry...
The following information applies to the questions displayed below.) Jarden Company has credit sales of $2,900,000 for year 2017. On December 31, 2017, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $21,359. Jarden prepares a schedule of its December 31, 2017, accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category that will become uncollectible. This information is summarized here. December 31, 2017 Accounts Receivable $...