### Accounting Transactions Explanation #### Instructions - **iv.** In the following year, an account worth $6,000 is determined to be uncollectible. What is the entry? - **v.** A receivable for $3,500 that was previously written off is collected. What is the 2-step entry? #### Table for Accounting Entries | | Assets | Liabilities | Stockholders’ Equity | Revenues | Expenses | Net Income | Cash Flow | |----|--------|-------------|----------------------|----------|----------|------------|-----------| | 1. | | | | | | | | | 2. | | | | | | | | | 3. | | | | | | | | | 4. | | | | | | | | | 5a.| | | | | | | | | 5b.| | | | | | | | This table is designed for students to input transactions related to accounts determined as uncollectible and the collection of previously written-off receivables. Students should use this table to practice accounting entries by filling in each column according to the scenario provided. **Educational Website Transcription: Accounting Concepts and Entries** --- **Topic: Impact of Financial Transactions on the Horizontal Equation** In this section, we'll explore how specific financial transactions affect the horizontal equation of accounting. For the asset section, it's crucial to identify the exact accounts that are affected. **Tasks:** 1. **Record Sales on Account**: - Transaction: Record sales during the year amounting to $205,000. - Analysis: Determine which accounts are influenced within the asset section. 2. **Impact of Cash Collection**: - Transaction: $190,000 cash was collected during the year. - Analysis: Explore the implications of this cash collection on the accounts. 3. **Allowance for Uncollectible Accounts**: - Transaction: Establish or adjust an allowance for uncollectible accounts at the year-end. - Analysis: Discuss how this affects assets and other financial statement elements. 4. **Uncollectible Account Entry**: - Scenario: In the subsequent year, an account worth $6,000 is concluded to be uncollectible. What entry is required to address this? 5. **Collection of Previously Written-Off Receivable**: - Scenario: A previously written-off receivable of $3,500 is collected. What's the correct two-step accounting entry? **Table for Financial Impact Analysis:** The table below will guide you in mapping out the effects of the above transactions. | Assets | Liabilities | Stockholders' Equity | Revenues | Expenses | Net Income | Cash Flow | |--------|-------------|----------------------|----------|----------|------------|-----------| | 1. | | | | | | | | 2. | | | | | | | Make sure to fill in this table with your analysis of the corresponding journal entries and their impact on each section. --- Note: Always refer to the relevant accounting guidelines when finalizing entries to ensure accuracy and compliance.