On December 31, 2023, Ivanhoe Company reported the following information in its financial statements: Accounts receivable $1,193,000 Allowance for expected credit losses 83,510 Credit losses 82,310 During 2024, the company had the following transactions related to receivables: 1. Sales were $10,557,000, of which $8,445,600 were on account. 2. Collections of accounts receivable were $7,297,000. 3. Writeoffs of accounts receivable were $78,000. 4. Recoveries of accounts previously written off as uncollectible were $8,700. (NotePrepare the journal entries to record each of the four items above. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)

Q: my instructor advises this answer is incorrect

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: this is te same answer i am getting and it says incorrect

A: Data from main section: Beta of asset=0.48 KA= 5.4%

Q: . What four common mistakes in estimating theWACC should Jana avoid?

A: A firm’s capital structure is the mix of debt and equity. The cost of procuring this debt and equity…

Bad Debts

At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.  

Accounts Receivable

The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.