Brief Exercise 5-47 Aging Method Spotted Singer Ltd. sells karaoke machines to businesses and consumers via the Internet. On December 31, 2021, Spotted Singer has an accounts receivable balance of $997,000 and a credit balance in its allowance for doubtful accounts of $24,000. During 2022, Spotted Singer had $2,500,000 of credit sales, collected $1,725,000 of accounts receivable, and had customer defaults of $45,000. At year-end, an aging analysis indicates that $28,000 of Spotted Singer's receivables will be uncollectible. Required: 1. Calculate Spotted Singer's balance in accounts receivable on December 31, 2022, prior to the adjustment. 2. Calculate Spotted Singer's balance in allowance for doubtful accounts on December 31, 2022, prior to the adjustment. 3. Prepare the necessary adjusting entry for 2022.

Brief Exercise 5-47 Aging Method Spotted Singer Ltd. sells karaoke machines to businesses and consumers via the Internet. On December 31, 2021, Spotted Singer has an accounts receivable balance of $997,000 and a credit balance in its allowance for doubtful accounts of $24,000. During 2022, Spotted Singer had $2,500,000 of credit sales, collected $1,725,000 of accounts receivable, and had customer defaults of $45,000. At year-end, an aging analysis indicates that $28,000 of Spotted Singer's receivables will be uncollectible. Required: 1. Calculate Spotted Singer's balance in accounts receivable on December 31, 2022, prior to the adjustment. 2. Calculate Spotted Singer's balance in allowance for doubtful accounts on December 31, 2022, prior to the adjustment. 3. Prepare the necessary adjusting entry for 2022.

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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