Question: On its recent financial statements, Fine Foods reported the following information about net sales revenue and accounts receivable (amounts in thousands): 2015 2014 Accounts receivable, net of allowances of $153 and $117 $13,589 $11,338 Net sales revenues $60,420 $51,122 Fine Foods recorded bad debt expense of $88 and reinstated previously written-off accounts of $12 during 2015. REQUIRED: a) What amount of bad debts was written off during 2015? b) What amount of cash was collected from customers for 2015, assuming that all of Fine Foods sales during the period were on the account?
Question: On its recent financial statements, Fine Foods reported the following information about net sales revenue and accounts receivable (amounts in thousands): 2015 2014 Accounts receivable, net of allowances of $153 and $117 $13,589 $11,338 Net sales revenues $60,420 $51,122 Fine Foods recorded bad debt expense of $88 and reinstated previously written-off accounts of $12 during 2015. REQUIRED: a) What amount of bad debts was written off during 2015? b) What amount of cash was collected from customers for 2015, assuming that all of Fine Foods sales during the period were on the account?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
answer
Transcribed Image Text:Question:
On its recent financial statements, Fine Foods reported the following
information about net sales revenue and accounts receivable (amounts in
thousands):
2015 2014
Accounts receivable, net of allowances of $153 and $117 $13,589 $11,338
Net sales revenues
$60,420 $51,122
Fine Foods recorded bad debt expense of $88 and reinstated previously
written-off accounts of $12 during 2015.
REQUIRED:
a) What amount of bad debts was written off during 2015?
b) What amount of cash was collected from customers for 2015, assuming that
all of Fine Foods sales during the period were on the account?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education