Patrick recovered the following bad debts that were previously charged off? P40,000 from accounts written off in a year which had a net income of P400,000 before write-off. Amount written off for the year was P40,000. P10,000 from accounts written off in a year which had a net loss before write-off of P72,000. Amount written off for the year was P10,000. P20,000 from accounts written off in a year which a had a net income of P16,000 before write-off. Amount written off for the year was P24,000. How much of the foregoing recovery should be reported as part of gross income during the year?
Patrick recovered the following bad debts that were previously charged off? P40,000 from accounts written off in a year which had a net income of P400,000 before write-off. Amount written off for the year was P40,000. P10,000 from accounts written off in a year which had a net loss before write-off of P72,000. Amount written off for the year was P10,000. P20,000 from accounts written off in a year which a had a net income of P16,000 before write-off. Amount written off for the year was P24,000. How much of the foregoing recovery should be reported as part of gross income during the year?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Patrick recovered the following
- P40,000 from accounts written off in a year which had a net income of P400,000 before write-off. Amount written off for the year was P40,000.
- P10,000 from accounts written off in a year which had a net loss before write-off of P72,000. Amount written off for the year was P10,000.
- P20,000 from accounts written off in a year which a had a net income of P16,000 before write-off. Amount written off for the year was P24,000.
How much of the foregoing recovery should be reported as part of gross income during the year?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education