2. Rose Company uses the Percentage of Accounts Receivable method to estimate the allowance for doubtful accounts. The balance in accounts receivable as of December 31, 2022, is $700,000. Rose estimates 5% uncollectible. In 2023 Rose writes off $40,000 in accounts receivable which were outstanding on December 31, 2022. The balance in accounts receivable as of December 31, 2023, is $900,000. Rose estimates 5% uncollectible. Required: Prepare the appropriate journal entries and post them to the ledger

2. Rose Company uses the Percentage of Accounts Receivable method to estimate the allowance for doubtful accounts. The balance in accounts receivable as of December 31, 2022, is $700,000. Rose estimates 5% uncollectible. In 2023 Rose writes off $40,000 in accounts receivable which were outstanding on December 31, 2022. The balance in accounts receivable as of December 31, 2023, is $900,000. Rose estimates 5% uncollectible. Required: Prepare the appropriate journal entries and post them to the ledger

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Ajman Corporation had a 1/1/18 balance in the Allowance for Doubtful Accounts of $30,000. During 2018, it wrote off $21,600 of accounts and collected $6,300 on accounts previously written off. The balance in Accounts Receivable was $600,000 at 1/1 and $720,000 at 12/31. What should Ajman report as its Allowance for Doubtful Accounts at 12/31/18?
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he following information is related to December 31, 2021 balances. • Accounts receivable $3340000 • Allowance for doubtful accounts (credit) (275000) • Cash realizable value $3065000 During 2022 sales on account were $877000 and collections on account were $506000. The company wrote off $48500 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that bad debts should be estimated at $371000. Bad debt expense for 2022 is $371000. $96000. $144500. $47500.
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4. At the end of its first year of operations, December 31, 2025, Swifty Inc. reported the following information. Accounts receivable, net of allowance for doubtful accounts Customer accounts written off as uncollectible during 2025 Bad debt expense for 2025 What should be the balance in accounts receivable at December 31, 2025, before subtracting the allowance for doubtful accounts? Net credit sales Accounts receivable, before deducting allowance for doubtful accounts Allowance for doubtful accounts Accounts receivable 5. The following accounts were taken from Nash Inc.'s trial balance at December 31, 2025. Debit $13,960 333,200 $872,800 O Search 26,370 Credit 89,470 $804,200 $ LOCO DELL g
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