Question

Question 5

Zamunda Corp. began operations in January 2020. During the first quarter, Zamunda had $200,000 in sales to customers, all on account. By the end of the first quarter, Zamunda had already collected $50,000 from customers, with the remaining $150,000 still outstanding. Zamunda estimates that it will be able to collect $140,000 of the $150,000 in outstanding accounts receivable. What amount will Zamunda report for Net Accounts Receivable on its first-quarter balance sheet? (just enter the number, without any commas or a dollar sign) 

Question 6 

Wakanda Corp. began operations in January 2020. During the first quarter, Wakanda made $80,000 of inventory purchases from suppliers and had sales to customers totaling $120,000. One half of the sales were cash sales, and the other half were credit sales, where customers have 90 days to pay the account. By the end of the first quarter, none of these customers had paid their accounts. Wakanda estimates that 90% of its credit sales will eventually be collected while the remaining 10% will default. What amount will Wakanda report for Net Accounts Receivable on its first-quarter balance sheet? (just enter the number, without any commas or a dollar sign) 

Question 9 

How much cash did Panem Corp. pay to employees for wages during 2020? (just enter the number, without any commas or a dollar sign) 

Answer 1

ANSWER

5. 140000

NET ACCOUNTS RECEIVABLE = ACCOUNTS RECEIVABLE - ALLOWANCE FOR DOUBTFUL DEBT

= 150000 - 10000

= 140000

6. 54000

NET ACCOUNTS RECEIVABLE = ACCOUNTS RECEIVABLE - ALLOWANCE FOR DOUBTFUL DEBT

= 120000 * 50% - 120000 * 50% * 10%

= 60000 - 6000

= 54000

7. 23000

AMOUNT OF WAGES PAID = OPENING WAGES PAYABLE + WAGES EXPENSE - ENDING WAGES PAYABLE

= 17000 + 20000 - 14000

= 23000