Question 9 0 out of 4 points The following represents an aging schedule of accounts receivable for a company at 12/31/x3. ix Days outstanding Dollar value of accounts Estimated Probability of Default Not outstanding 1-30 days $100,000 2% 20,000 5% 31+ days 10,000 10% The balance of the allowance for doubtful accounts before adjusting for bad debt expense is a debit balance of $3,000. What is the amount of bad debt expense at the end of the period?

Question 9 0 out of 4 points The following represents an aging schedule of accounts receivable for a company at 12/31/x3. ix Days outstanding Dollar value of accounts Estimated Probability of Default Not outstanding 1-30 days $100,000 2% 20,000 5% 31+ days 10,000 10% The balance of the allowance for doubtful accounts before adjusting for bad debt expense is a debit balance of $3,000. What is the amount of bad debt expense at the end of the period?

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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ok D Int = Print Compute the annual dollar changes and percent changes for each of the following accounts. (Decreases should be indicated with a minus sign. Round percent change to one decimal place.) 0 ferences # Short-term investments Accounts receivable Notes payable Percent Change = Short-term investments Accounts receivable Notes payable Type here to search Esc fo F1 1 X F2 $ Current Year $ 378,252 100,583 @ 2 0 Horizontal Analysis - Calculation of Percent Change Numerator: 1 Current Year F3 20 #m Prior Year $ 236,897 104,503 91,702 3 378,252 $ 100,583 F4 0 S4 Prior Year $ 236,897 104,503 91,702 F5 $ % 5 Denominator: Dollar Change F6 111,355 (3,920) (91,702) DELL F7 A Percent Change 29.4 % (26.7) % (100.0) % 6 F8 & 7 0 F9 * a 8 F10 9
11. The following to MARIE Company's accounts receivable at December 31, 2016: Estimated % Days outstanding 0 - 60 Amount 120,000 90,000 100,000 310,000 During 2016, MARIE Company wrote off P7,000 in receivables and recovered P4,000 that had been written off in prior years. AAA Company's December 31, 2015 allowance for uncollectible accounts was P22,000. Under the aging method, the amount of allowance for uncollectible accounts MARIE Company should report at December Uncollectible 1% 61 - 120 2% Over 120 6% P 31, 2016 is
45. Starboy Company has the following data relating to accounts receivable for the year ended December 31, 2022: Accounts receivable, January 1, 2022 P 480,000Allowance for doubtful accounts, 1/1/22 28,600Cash sales 300,000Sales on account, terms: 2/10, 1/15, n/30 2,560,000Cash received from customers during the year 2,400,000Accounts written off during the year 17,600Cash refunds given to cash customers for sales returns and allowances 15,000Credit memoranda issued to credit customers for sales returns and allowances 25,000 The P2,400,000 collection is composed of the following: Collection from customers availing the 10-day discount period: Gross selling price P 1,440,000Discount taken (1,440,000 x 2%) ( 28,800) P 1,411,200 Collection from customers availing the 15-day discount period: Gross selling price 800,000 Discount taken (800,000 x 1%) ( 8,000) 792,000 Collection from customers paying beyond the discount period: 192,000 Collection of accounts previously written and subsequent…
21. Ebasan Company estimates its doubtful accounts by aging its accounts receivable. The aging schedule of accounts receivable at December 31, 2020 is presented below: Age of Accounts 0-30 days 31-60 days Amount P1,264,800 691,500 61-90 days 288,600 114,975 91-120 days Over 120 days 59,100 Ebasan's uncollectible accounts experience for the past 5 years are summarized in the following schedule: Year 0-30 31-60 61-90 91-120 Over 120 2019 Receivable (Dec 31) P1,968,750 1,500,000 697,500 0.3% 1.8% 12% 38% 65% 2018 0.5% 1.6% 41% 70% 2017 1.5% 0% 50% 69% 0.2% 0.4% 2016 1,224,000 1,7% 10.2% 47% 81% 2015 1,865,500 0.9% 2.0% 9.7% 33% 95% The balance of the allowance for doubtful accounts at December 31, 2020 before adjustment is P126,751. The necessary adjusting journal entry to adjust the allowance for doubtful accounts as of Dec 31,2020 would include: A. A debit to retained earnings of P13,894, B. A debit to doubtful accounts expense P140,644. C. A credit to doubtful accounts expense…
A firm has accounts receivables of R352 476, sales just ended of R3 050 291. What is the average collection period? Assume 365 days in a year
16. Int
Current Attempt in Progress * Your answer is incorrect. Crane Inc. has evaluated its process of calculating estimates of uncollectible accounts receivable. In the past, Crane calculated the Bad Debt Expense as a percentage of sales. It recorded Bad Debt Expense at 1% of sales. Due to changes in the economic conditions, Crane will increase that percentage to 3%. The change is made on January 1, 2025. Salles in 2023 were $1630000 and $3130000 in 2024. Sales in 2025 total $4130000. What is the Bad Debt Expense that Crane will record for 2025? $159100 Ⓒ $217800 O $41300 O $123900 e Textbook and Media Save for Later Attempts: 1 of 2 used Submit Answer
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The aging of accounts receivable shows the following: P300,000 already 1-30 days past due; P200,000 already 31-60 past due; and P100,000, 61-90 days past due. Based on company experience, the rate of doubtful collections is as follows: 2%, 4% and 7%, respectively. 1. How much is the amount of uncollectible accounts from the 31-60 days past due? 2.
2. XYZ Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end. Number of Days Outstanding Total 200,000 77,000 0-30 31-60 61-90 91-120 Accounts receivable % uncollectible Over 120 $15,000 46,000 39,000 23,000 1% 20% 4% 5% 8% Estimated bad debts Instructions: A. Calculate the total estimated bad debts based on the above information. B. Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined in (A). Assume the current balance in Allowance for Doubtful Accounts is an $8,000 debit. C. Of the above accounts, $5,000 is determined to be specifically uncollectible. Prepare the journal entry to write off the uncollectible account. D. The company collects $5,000 subsequently on a specific account that had previously been determined to be uncollectible in (C). Prepare the journal entry (ies) necessary to restore the account…
Qw.8.
(a) A company has determined that the length of time a receivable is outstanding is the most appropriate credit risk characteristic for determining expected credit losses. The following is an aging schedule for the company's accounts receivable as at December 31, 2023: Customer's name Aber Bohr Chow Datz Others Expected rate of credit loss Expected credit losses Total amount owed $28,000 50,000 42,000 eTextbook and Media 27,000 158,000 $305,000 $41,160 Current (not yet due) Account Titles and Explanation $50,000 15,000 95,000 $160,000 3% $4,800 1-30 12,000 $9,000 $19,000 15,000 $36,000 6% Number of days past due $2,160 31-60 13,000 10% $3,200 61-90 $15,000 15,000 Debit $32,000 $30,000 $47,000 25% Over 90 $7,500 $27,000 20,000 On December 31, 2023, the unadjusted balance in the Allowance for Expected Credit Losses (prior to the aging analysis) was a credit of $20,000. 50% Journalize the adjusting entry to record the expected credit losses on December 31, 2023. (Credit account titles are…