Question

At the beginning of the year, accounts receivable were $150,000 and the allowance for bad debts...

At the beginning of the year, accounts receivable were $150,000 and the allowance for bad debts was $12,100. During the year, sales (all on account) were $606,000, cash collections were $586,000, bad debts expense totaled $16,000, and $12,600 of accounts receivable were written off as bad debts.

Required:

Calculate the balances at the end of the year for the Accounts Receivable and Allowance for Bad Debts accounts. (Hint: Use T-accounts to analyze each of these accounts, plug in the amounts that you know, and solve for the ending balances.)

0 0
Add a comment Improve this question Transcribed image text
Answer #1
Ending balance
Accounts Receivable 157400
Allowance for Bad Debts 15500
Workings:
Accounts Receivable, beginning 150000
Add: Sales on account 606000
Less: Cash collections -586000
Less: Accounts receivable written off -12600
Accounts Receivable, ending 157400
Allowance for Bad Debts,beginning 12100
Add: Bad debts expense 16000
Less: Accounts receivable written off -12600
Allowance for Bad Debts,ending 15500
Add a comment
Know the answer?
Add Answer to:
At the beginning of the year, accounts receivable were $150,000 and the allowance for bad debts...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • -Exercise Accounts receivable, bad debts, credit sales, and cash collection 5.3 analysis At the beginning of...

    -Exercise Accounts receivable, bad debts, credit sales, and cash collection 5.3 analysis At the beginning of the year, accounts receivable were $72,000 and th LOS allowance for bad debts was $5,750. During the year, sales (all on account) We $300,000, cash collections were $290.000, bad debts expense totaled $7,100. and $6,000 of accounts receivable were written off as bad debts. Required: Calculate the balances at the end of the year for the Accounts Receivable and Allow ance for Bad Debts...

  • e Review (IUPUIS 1 Help Save & Exit Submit Check my work At the beginning of...

    e Review (IUPUIS 1 Help Save & Exit Submit Check my work At the beginning of the year, accounts receivable were $163,000 and the allowance for bad debts was $13,400. During the year, sales (all on account) were $619,000, cash collections were $599,000, bad debts expense totaled $19,900, and $13,900 of accounts receivable were written off as bad debts. Required: Calculate the balances at the end of the year for the Accounts Receivable and Allowance for Bad Debts accounts. (Hint...

  • The Allowance for Bad Debts account had a balance of $6,100 at the beginning of the...

    The Allowance for Bad Debts account had a balance of $6,100 at the beginning of the year and $7700 at the end of the year. During the year (including the year-end adjustment), bad debts expense of $11,000 was recognized. Required: Calculate the total amount of past-due accounts receivable that were written off as uncollectible during the year. (Hint Make a T- account for the Allowance for Bad Debts account, plug in the amounts that you know, and solve for the...

  • The Allowance for bad debt account had a balance of $19,200 at the beginning of the...

    The Allowance for bad debt account had a balance of $19,200 at the beginning of the year and $24,400at the end of the year. During the year (including the year end adjustment), bad debts expense of $36,000 was recognized. Calculate the total amount of past due accounts receivable that were written off as uncollectible during the year. (hint: make a T-Account for the allowance for bad debts account, plug in the amounts that you know, and solve for the missing...

  • illustste t accounts for accounts receivable and allowance for bad debts A) On November 30, Penny...

    illustste t accounts for accounts receivable and allowance for bad debts A) On November 30, Penny Cohada $41.000 halange in Accounts Recivable and a $3,584 credit balance in the Allowance for Uncollectible Accounts. During December. Pey made credit sales of $200,000. December collections on account were $168.000, and write-offs of uncollectible accounts totaled $2.910. Uncollectible account expense is estimated as 15 of credit sales. No sales returns are expected and ignore cost of goods sold REQUIRED: Journalire les collections, write-offs...

  • At the beginning of 2015, the balances for Accounts Receivable and Allowance for Doubtful Accounts were...

    At the beginning of 2015, the balances for Accounts Receivable and Allowance for Doubtful Accounts were $77,000 and $5,144 (credit), respectively. During the current year, credit sales were $463,000 and collections on account were $341,000. In addition, $3,800 in uncollectible accounts were written off, and $750 of accounts previously written off were collected during the year. If management estimates bad debts based on 3 percent of total credit sales, determine the net realizable value of accounts receivable at December 31,...

  • The Allowance for Bad Debts account had a balance of $7,100 at the beginning of the...

    The Allowance for Bad Debts account had a balance of $7,100 at the beginning of the year and $9,700 at the end of the year. During the year (including the year-end adjustment), bad debts expense of $13,000 was recognized. Required: off as uncollectible during the year. (Hint Make a T-account for the Allowance for Bad Debts account, plug in the amounts that you know, and solve for the missing amount.) Bad debt write-offs

  • Analysis of Allowance for Bad Debts Boulder View Corporation accounts for uncollectible accounts receivable using the...

    Analysis of Allowance for Bad Debts Boulder View Corporation accounts for uncollectible accounts receivable using the allowance method. As of December 31, 2016, the credit balance in Allowance for Bad Debts was $110,000. During 2017, credit sales totaled $10,000,000, $80,000 of accounts receivable were written off as uncollectible, and recoveries of accounts previously written off amounted to $14,000. An aging of accounts receivable at December 31, 2017, showed the following: Accounts Receivable Balance As of Percentage Estimated Classification of Receivable...

  • 1 Data Table Accounts Receivable Allowance for Bad Debts 79,000 1,861 The aging of accounts receivable...

    1 Data Table Accounts Receivable Allowance for Bad Debts 79,000 1,861 The aging of accounts receivable yields the following data: Age of Accounts Receivable 0-60 Days Total Receivables Over 60 Days 3,000 x 19% S 76,000 s 79,000 Accounts Receivable Estimated percent uncollectible х 4% Print Done We were unable to transcribe this imageWe were unable to transcribe this imageWe were unable to transcribe this imagee Falling's entry to record bad debts expense for 2018 u Accounts re Collected cash...

  • An analysis of an entity's $150,000 accounts receivable at year end resulted in a $5,000 ending...

    An analysis of an entity's $150,000 accounts receivable at year end resulted in a $5,000 ending balance for its allowance for uncollectible accounts and a bad debt expense of $2,000. During the past year, recoveries on bad debts previously written off were correctly recorded at $500. If the beginning balance in the allowance for uncollectible accounts was $4,700, what was the amount of accounts receivable written off as uncollectible during the year?

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT