a | ||
i | ||
Bad Debts expense | 63720 | =3186000*2% |
ii | ||
Bad Debts expense | 63720 | =3186000*2% |
b | ||
i | ||
Bad Debts expense | 48400 | =54000-5600 |
ii | ||
Bad Debts expense | 59600 | =54000+5600 |
c | ||
Bad Debts expense | 64000 |
Application Problem 6-11A a-c DejaVu Company has been in business for several years and has the...
Application Problem 6-11A a-c DejaVu Company has been in business for several years and has the following information for its operations in the current year: Total credit sales Bad debts written off in the year Accounts receivable balance on December 31 (after writing off the bad debts above) $3,186,000 64,000 535,000 Assume that DejaVu Company decides to estimate its bad debts expense at 2% of credit sales. 1. What amount of bad debts expense will the company record if it...
Dejavu Company has been in business for several years and has the following information for its operations in the current year: Total credit sales Bad debts written off in the year Accounts receivable balance on December 31 (after writing off the bad debts above) $3,081,000 80,000 510,000 Assume that DejaVu Company decides to estimate its bad debts expense at 2% of credit sales. i. What amount of bad debts expense will the company record if it has a credit balance...
DejaVu Company has been in business for several years and has the following information for its operations in the current year: Total credit sales $3,360,000 Bad debts written off in the year 62,000 Accounts receivable balance on December 31 (after writing off the bad debts above) 501,000 Assume that DejaVu Company decides to estimate its bad debts expense at 2% of credit sales. i. What amount of bad debts expense will the company record if it has a credit balance...
Exercise 9-6 Percent of sales method; write-off LO P3 At year-end (December 31), Chan Company estimates its bad debts as 0.30 % of its annual credit sales of $969,000. Chan records its Bad Debts Expense for that estimate. On the following February 1, Chan decides that the $485 account of P. Park is uncollectible and writes it off as a bad debt. On June 5, Park unexpectedly pays the amount previously written off. Prepare Chan's journal entries for the transactions....
Problem 8-04A a-c Here is information related to Pharoah Company for 2022 Total credit sales $1,383,000 Accounts receivable at December 31 691,500 Bad debts written off 36,900 (a) What amount of bad debt expense will Pharoah Company report if it uses the direct write-off method of accounting for bad debts? Bad debts expense (b) Assume that Pharoah Company uses the percentage-of-receivables basis to record bad debt expense and concludes that 4% of accounts receivable will become uncollectible. What amount of...
Do It! Review 8-02a Kingbird has been in business several years. At the end of the current year, the unadjusted trial balance shows: $336,000 Dr. Accounts Receivable 2,287,000 Cr Sales Revenue 6,006 Cr Allowance for Doubtful Accounts Bad debts are estimated to be 6% of receivables. Prepare the entry to adjust Allowance for Doubtful Accounts. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit Exercise 8-05 The ledger of...
Mazie Supply Co. uses the percent of accounts receivable method On December 31, it has outstanding accounts receivable of $71,500, and it estimates that 6% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has (a) a $1,216 credit balance before the adjustment (b) a $358 debit balance before the adjustment View transaction list Journal entry worksheet Prepare the year-end adjusting entry to record bad debts expense...
At each calendar year-end, Mazie Supply Co. uses the percent of accounts receivable method to estimate bad debts. On December 31, It has outstanding accounts receivable of $128,000, and it estimates that 5 % will be uncollectible Prepare the adjusting entry to record bad debts expense for the year ended December 31 under the assumption that the Allowance for Doubtful Accounts has: (e) a $2,176 credit balance before the adjustment. b) a $640 debit balance before the adjustment. View transaction...
Mazie Supply Co. uses the percent of accounts receivable method. On December 31, it has outstanding accounts receivable of $126,500, and it estimates that 6% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $2,151 credit balance before the adjustment. (b) a $633 debit balance before the adjustment. View transaction list Journal entry worksheet Prepare the year-end adjusting entry to record bad debts expense...
Question 5 Information related to Metlock Company for 2019 is summarized below. Total credit sales Accounts receivable at December 31 Bad debts written off $2,556,000 904,000 32,200 (a) What amount of bad debt expense will Metlock Company report if it uses the direct write-off method of accounting for bad debts? (b) Assume that Metlock Company estimates its bad debt expense based on 6% of accounts receivable. What amount of bad debt expense will Metlock record if it has an Allowance...