Blue Spruce Corp. unadjusted trial balance includes the following balances (assume normal balances): • Accounts Receivable $1160000 • Allowances for Doubtful Accounts $24900 Bad debts are estimated to be 5% of outstanding receivables. What amount of bad debt expense will the company record? $55678 $31822 $58000 $33100

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Blue Spruce Corp. unadjusted trial balance includes the following balances (assume normal balances):

Accounts Receivable

$1160000

Allowances for Doubtful Accounts

$24900

Bad debts are estimated to be 5% of outstanding receivables. What amount of bad debt expense will the company record?

$55678

$31822

$58000

$33100

The financial statements of the Wildhorse Co. report net sales of $384000 and accounts receivable of $48000 and $36000 at the beginning of the year and the end of the year, respectively. What is the average collection period for accounts receivable in days? (Use 365 days for calculation.)

50.0

39.9

80.4

29.7

Windsor, Inc. had net credit sales during the year of $1128800 and cost of goods sold of $448000. The balance in accounts receivable at the beginning of the year was $122400 and at the end of the year was $149600. What was the accounts receivable turnover?

8.3

10.3

5.1

7.0

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