Question

At the beginning of the current period, Kingbird Corp. had balances in Accounts Receivable of $192,800 and in Allowance for Doubtful Accounts of $8,520 (credit). During the period, it had net credit sales of $722,500 and collections of $708,940. It wrote off as uncollectible accounts receivable of $7,972. However, a $3,275 account previously written off as uncollectible was recovered before the end of the current period. Uncollectible accounts are estimated to total $22,740 at the end of the period. (Omit cost of goods sold entries.)

Correct answer iconYour answer is correct.

(a)		Prepare the entries to record sales and collections during the period.
(b)		Prepare the entry to record the write-off of uncollectible accounts during the period.
(c)		Prepare the entries to record the recovery of the uncollectible account during the period.
(d)		Prepare the entry to record bad debt expense for the period.

(Credit account titles are automatically indented when amount is entered. Do not indent manually.)

No.	Account Titles and Explanation	Debit	Credit
(a)	Enter an account title to record sales	Enter a debit amount	Enter a credit amount
	Enter an account title to record sales	Enter a debit amount	Enter a credit amount
	(To record sales)
	Enter an account title to record cash received	Enter a debit amount	Enter a credit amount
	Enter an account title to record cash received	Enter a debit amount	Enter a credit amount
	(To record cash received)
(b)	Enter an account title	Enter a debit amount	Enter a credit amount
	Enter an account title	Enter a debit amount	Enter a credit amount
(c)	Enter an account title to reinstate account previously written off	Enter a debit amount	Enter a credit amount
	Enter an account title to reinstate account previously written off	Enter a debit amount	Enter a credit amount
	(To reinstate account previously written off)
	Enter an account title to record cash received	Enter a debit amount	Enter a credit amount
	Enter an account title to record cash received	Enter a debit amount	Enter a credit amount
	(To record cash received)
(d)	Enter an account title	Enter a debit amount	Enter a credit amount
	Enter an account title	Enter a debit amount	Enter a credit amount

eTextbook and Media

List of Accounts

New attempt is in progress. Some of the new entries may impact the last attempt grading.Your answer is incorrect.

Determine the ending balances in Accounts Receivable and Allowance for Doubtful Accounts.

Ending balance in Accounts Receivable		$Enter a dollar amount
Ending balance in Allowance for Doubtful Accounts		$Enter a dollar amount

eTextbook and Media

List of Accounts

New attempt is in progress. Some of the new entries may impact the last attempt grading.Your answer is incorrect.

What is the net realizable value of the receivables at the end of the period?

Net realizable value of the receivables at the end of the period

$

I just need the ending balances and Net realizable value.

Answer 1

S.no Credit Debit 722,500 $ Account Titles and Explanation Accounts receivable Sales revenue (To record sales) $ 722,500 $ 708,940 Cash Accounts receivable (To record cash received) $ 708,940 7,972 Allowance for doubtful accounts Accounts receivable 7,972 c) 3,275 Accounts receivable Allowance for doubtful accounts (To reinstate account previously written off) $ 3,275 3,275 Cash Accounts receivable (To record cash received) 3,275 $ 18,917 Bad debt expense Allowance for doubtful accounts 18,917

Amount $ 8,520 $ 7,972 $ 3,275 $ 3,823 $ 22,740 $ 18,917 Particulars 6 Beginning balance of allowance 7 Less: Write off 8 Add: Accounts reinstated 9 Unadjusted balance 10 Estimated uncollectible accounts 11 Bad debts expense ($22,740-$3,823) 12 13 Particulars 14 Beginning balance of accounts receivable 15 Add: Credit sale 16 Less: Collections 17 Less: Write off's 18 Ending balance in Accounts Receivable 19 20 Ending balance in Allowance for Doubtful Accounts Amount $ 192,800 $ 722,500 $ -708,940 $ -7,972 $ 198,388 $ 22,740 $ 175,648 22 Net realizable value of the receivables at the end of the period 22

5 Particulars 6 Beginning balance of allowance 7 Less: Write off 8 Add: Accounts reinstated 9 Unadjusted balance 10 Estimated uncollectible accounts 11 Bad debts expense ($22,740-$3,823) Amount 8520 7972 3275 =+16-17+18 22740 =+110-19 13 Particulars 14 Beginning balance of accounts receivable 15 Add: Credit sale 16 Less: Collections 17 Less: Write off's 18 Ending balance in Accounts Receivable Amount 192800 722500 -708940 -7972 =+|14+|15+|16+|17 20 Ending balance in Allowance for Doubtful Accounts 22740 22 Net realizable value of the receivables at the end of the period 1=+(18-120