Journalize this transactions for 2024, before starting the company for the journal entries uses the allowance method I added more imformation in the image for the background data and imformation.Transactions for 20241-Sales revenue on account, $113,600 (ignore Cost of Goods Sold).2-Collections on account, $92,8953-Write-offs of uncollectibles, $760.4- The Company accepted a 90-day, 9%, $13,500 note receivable from a customer in exchange for 4 his account receivable.a Journalize the issuance of the note.b Journalize the collection of the principal and interest at maturity. (use 360 days)5 Bad debts expense of $?? was recorded. (Refer to requirement 3)(about the write off) -attached is an image to the context the journal entries should be placed in ### Aging of Accounts Receivable and Uncollectibility Estimation#### Data ExplanationThe dataset provides information on accounts receivable, including the aging of invoices and estimated uncollectibility percentages. Understanding this data is crucial for managing financial risks and ensuring cash flow stability.#### Uncollectibility TableThis table outlines the estimated percentage that accounts are expected to be uncollectible based on the age of the receivable:- **1-30 Days**: 0.0% uncollectible- **31-60 Days**: 0.0% uncollectible- **61-90 Days**: 3.5% uncollectible- **91-365 Days**: 0.7% uncollectibleThese percentages help in predicting potential losses from unpaid invoices.#### Customer Account DataThis section lists individual customer accounts with the following details:- **Customer Name**- **Amount Owed**- **Today's Date**: 7/31/2024- **Invoice Date**- **Days Outstanding**- **Uncollectible Percentage****Customer Details:**1. **Bonneville**: - Amount: $980 - Invoice Date: 5/26/2024 - Days Outstanding: 66 - Uncollectible %: 12.0%2. **Chinook**: - Amount: $1,010 - Invoice Date: 6/30/2024 - Days Outstanding: 31 - Uncollectible %: 3.5%3. **Duwamish**: - Amount: $510 - Invoice Date: 7/12/2024 - Days Outstanding: 19 - Uncollectible %: 1.5%4. **Foss**: - Amount: $450 - Invoice Date: 4/15/2024 - Days Outstanding: 107 - Uncollectible %: 70.0%5. **Nisqually**: - Amount: $3,145 - Invoice Date: 6/18/2024 - Days Outstanding: 43 - Uncollectible %: 3.5%6. **Worden**: - Amount: $350 - Invoice Date: 5/10/2024 - Days ### Excel Template for Accounting LedgerThis image displays a basic Excel spreadsheet template designed for recording accounting transactions. Here’s a detailed breakdown of the components within the spreadsheet:#### Column Headers:1. **Date**: This column is intended for entering the date of the transaction.2. **Account and Explanation**: This section allows for detailed descriptions of the transactions, including the account title and any necessary explanations regarding the nature of the transaction.3. **DR (Debit)**: This column is used to record debit amounts associated with the transaction.4. **CR (Credit)**: This column records the credit amounts associated with the transaction.#### Structure:- The spreadsheet includes rows with empty fields for entering data. Each row represents a single transaction.This template is useful for businesses or individuals looking to keep track of their financial transactions in a structured manner using a familiar tool like Excel. It allows for easy data input and can be customized according to specific accounting needs.

Answered: Journalize this transactions for 2024,…

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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Journalize this transactions for 2024, before starting the company for the journal entries uses the allowance method I added more imformation in the image for the background data and imformation. Transactions for 2024 1-Sales revenue on account, $113,600 (ignore Cost of Goods Sold). 2-Collections on account, $92,895 3-Write-offs of uncollectibles, $760. 4- The Company accepted a 90-day, 9%, $13,500 note receivable from a customer in exchange for 4 his account receivable. a Journalize the issuance of the note. b Journalize the collection of the principal and interest at maturity. (use 360 days) 5 Bad debts expense of $?? was recorded. (Refer to requirement 3)(about the write off) -attached is an image to the context the journal entries should be placed in

### Aging of Accounts Receivable and Uncollectibility Estimation

#### Data Explanation

The dataset provides information on accounts receivable, including the aging of invoices and estimated uncollectibility percentages. Understanding this data is crucial for managing financial risks and ensuring cash flow stability.

#### Uncollectibility Table

This table outlines the estimated percentage that accounts are expected to be uncollectible based on the age of the receivable:

- **1-30 Days**: 0.0% uncollectible
- **31-60 Days**: 0.0% uncollectible
- **61-90 Days**: 3.5% uncollectible
- **91-365 Days**: 0.7% uncollectible

These percentages help in predicting potential losses from unpaid invoices.

#### Customer Account Data

This section lists individual customer accounts with the following details:

- **Customer Name**
- **Amount Owed**
- **Today's Date**: 7/31/2024
- **Invoice Date**
- **Days Outstanding**
- **Uncollectible Percentage**

**Customer Details:**

1. **Bonneville**:
- Amount: $980
- Invoice Date: 5/26/2024
- Days Outstanding: 66
- Uncollectible %: 12.0%

2. **Chinook**:
- Amount: $1,010
- Invoice Date: 6/30/2024
- Days Outstanding: 31
- Uncollectible %: 3.5%

3. **Duwamish**:
- Amount: $510
- Invoice Date: 7/12/2024
- Days Outstanding: 19
- Uncollectible %: 1.5%

4. **Foss**:
- Amount: $450
- Invoice Date: 4/15/2024
- Days Outstanding: 107
- Uncollectible %: 70.0%

5. **Nisqually**:
- Amount: $3,145
- Invoice Date: 6/18/2024
- Days Outstanding: 43
- Uncollectible %: 3.5%

6. **Worden**:
- Amount: $350
- Invoice Date: 5/10/2024
- Days

### Excel Template for Accounting Ledger

This image displays a basic Excel spreadsheet template designed for recording accounting transactions. Here’s a detailed breakdown of the components within the spreadsheet:

#### Column Headers:
1. **Date**: This column is intended for entering the date of the transaction.
2. **Account and Explanation**: This section allows for detailed descriptions of the transactions, including the account title and any necessary explanations regarding the nature of the transaction.
3. **DR (Debit)**: This column is used to record debit amounts associated with the transaction.
4. **CR (Credit)**: This column records the credit amounts associated with the transaction.

#### Structure:
- The spreadsheet includes rows with empty fields for entering data. Each row represents a single transaction.

This template is useful for businesses or individuals looking to keep track of their financial transactions in a structured manner using a familiar tool like Excel. It allows for easy data input and can be customized according to specific accounting needs.

Expert Solution

Step 1: Concept Introduction on Accounts Receivable

In case of a credit sale, the customer is given an option to make payment for the sale within a specified time period and not immediately. It is a competitive market practice and increases the sales value. Such customers are assets to the company and known as Accounts Receivable.. A loss in accounts receivable i.e. bad debt is incurred when the customer does not pay the full amount due by him. It is not possible to ascertain such losses in advance, an estimate of doubtful debt based on the aging schedule is prepared and loss is recognized at the earliest.

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