Slow Running Shoes uses the Aging of receivables method to account for uncollectibleaccounts.o The balance in the Allowance for uncollectible account as at Jan 1st, 2010 was $10,500(credit)o The balance in the Accounts Receivable account as at Jan 1*, 2010 was $133,0oo.The company completed the following transactions during 2010 and 2011:2010June 10thWrote off the balance of $600 from MannyMiller's account as uncollectibleRe-instated the account of Betty Lou andrecorded the collection of $1200 as paymentin full for her account which had been writtenSeptember 15thoff earlierRecorded the uncollectible account expensebased on the aging schedule. The scheduleshowed that $14,100 of accounts receivablewas estimated as uncollectibleMade the closing entry for the uncollectibleexpense accountDecember 31stDecember 31st2011Sold inventory to Jack Frost, $1100, onaccountWrote off as uncollectible the accounts ofJan 17Barry Semper, $1,500; Maria Jesus $1,400and Rory Paul $200Received 40% of the amount owed by JackFrost and wrote off the remainder asAugust 15September 26uncollectibleReceived 20% of the funds owed from MariaOctober 16Jesus as part payment of her account whichhad been written off earlier as uncollectibleThe Aging schedule showed an estimated$7500 as uncollectibleDecember 314. Assume that the percentage of sales method was used instead by the company and that onDecember 31st, 2010 5% of 2010 's credit sales are estimated to be uncollectible. AssumeSales for 2010 were 520,000 (60% relates to cash sales)You are now required to:a. Determine the amount to be charged to the uncollectible expense account.b. (1) Prepare the Allowance for uncollectible account for 2010, using this method(ii) Prepare the balance sheet extract to show the net realizable value of theAccounts Receivable as at December 31 2010

calculation of amount charged to collectible expenses as well as preparation of above necessary…

Slow Running Shoes uses the Aging of receivables method to account for uncollectible accounts. o The balance in the Allowance for uncollectible account as at Jan 1", 2010 was $10,500 (credit) o The balance in the Accounts Receivable account as at Jan 1*, 2010 was $133,000. The company completed the following transactions during 2010 and 2011: 2010 June 10th Wrote off the balance of $600 from Manny Miller's account as uncollectible Re-instated the account of Betty Lou and recorded the collection of $1200 as payment in full for her account which had been written off earlier Recorded the uncollectible account expense September 15th December 31st

Slow Running Shoes uses the Aging of receivables method to account for uncollectible accounts. o The balance in the Allowance for uncollectible account as at Jan 1", 2010 was $10,500 (credit) o The balance in the Accounts Receivable account as at Jan 1*, 2010 was $133,000. The company completed the following transactions during 2010 and 2011: 2010 June 10th Wrote off the balance of $600 from Manny Miller's account as uncollectible Re-instated the account of Betty Lou and recorded the collection of $1200 as payment in full for her account which had been written off earlier Recorded the uncollectible account expense September 15th December 31st

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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The beginning balance in the Allowance for Uncollectible Accounts account is a $3,500 credit. After conducting an aging analysis, management has determined that $11,700 of accounts receivable will be uncollectible. What is the ending balance in the Allowance for Uncollectible Accounts account? $11,700 $3,500 $15,200 $8,200
At the end of 2016, Skysong, Inc. has accounts receivable of $768,300 and an allowance for doubtful accounts of $26,300. 1. On January 24, 2017, it is learned that the company's receivable from Madonna Inc. is not collectible and therefore management authorizes a write-off of $4,480. 2. On March 4, 2017, Skysong, Inc. receives payment of $4,480 in full from Madonna Inc. Prepare the journal entries to record this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit 1. 2. (To record recovery of accounts receivable.) (To record collection of accounts receivable.)
Prepare journal entries for each transaction
Slow Running Shoes uses the Aging of receivables method to account for uncollectible accounts. The balance in the Allowance for uncollectible account as at Jan 1st, 2010 was $10,500 (credit) The balance in the Accounts Receivable account as at Jan 1st, 2010 was $133,000. The company completed the following transactions during 2010 and 2011: 2010 June 10th Wrote off the balance of $600 from Manny Miller’s account as uncollectible September 15th Re-instated the account of Betty Lou and recorded the collection of $1200 as payment in full for her account which had been written off earlier December 31st Recorded the uncollectible account expense based on the aging schedule. The schedule showed that $14,100 of accounts receivable was estimated as uncollectible December 31st Made the closing entry for the uncollectible expense account 2011 Jan 17 Sold inventory to Jack Frost, $1100, on account August 15 Wrote off as uncollectible the…
Slow Running Shoes uses the Aging of receivables method to account for uncollectible accounts. The balance in the Allowance for uncollectible account as at Jan 1st, 2010 was $10,500 (credit) The balance in the Accounts Receivable account as at Jan 1st, 2010 was $133,000. The company completed the following transactions during 2010 and 2011: 2010 June 10th Wrote off the balance of $600 from Manny Miller’s account as uncollectible September 15th Re-instated the account of Betty Lou and recorded the collection of $1200 as payment in full for her account which had been written off earlier December 31st Recorded the uncollectible account expense based on the aging schedule. The schedule showed that $14,100 of accounts receivable was estimated as uncollectible December 31st Made the closing entry for the uncollectible expense account 2011 Jan 17 Sold inventory to Jack Frost, $1100, on account August 15 Wrote off as uncollectible the…
Slow Running Shoes uses the Aging of receivables method to account for uncollectible accounts. The balance in the Allowance for uncollectible account as at Jan 1st, 2010 was $10,500 (credit) The balance in the Accounts Receivable account as at Jan 1st, 2010 was $133,000. The company completed the following transactions during 2010 and 2011: 2010 June 10th Wrote off the balance of $600 from Manny Miller’s account as uncollectible September 15th Re-instated the account of Betty Lou and recorded the collection of $1200 as payment in full for her account which had been written off earlier December 31st Recorded the uncollectible account expense based on the aging schedule. The schedule showed that $14,100 of accounts receivable was estimated as uncollectible December 31st Made the closing entry for the uncollectible expense account 2011 Jan 17 Sold inventory to Jack Frost, $1100, on account August 15 Wrote off as uncollectible the…
2. Grill's Flooring Limited had credit sales of $400,000 in 2007 and a debit balance of $600 in the Allowance for Doubtful Accounts at year end. As of December 31, 2007, $120,000 of accounts receivable remains uncollected. The credit manager of Grill's Flooring prepared an aging schedule of accounts receivable and estimates that $5,000 will prove to be uncollectible. /5 marks On March 4, 2008 the credit manager authorizes a write-off of the $1,000 balance owed by A. Ludwig. Instructions a. Prepare the adjusting entry to record the estimated uncollectible accounts expense in 2007. b. Show the balance sheet presentation of accounts receivable on December 31, 2007. On March 4, 2008 assume the balance of Accounts Receivable account is $160,000 and the balance of Allowance for Doubtful Accounts is a credit of $3,000, before the write- С. off. Make the appropriate entry to record the write-off of the Ludwig account. Also calculate the net realizable value of accounts receivable before and…
Slow Running Shoesuses the Aging of receivables method to account for uncollectible accounts. The balance in the Allowance for uncollectible account as at Jan 1st, 2010 was $10,500 (credit) The balance in the Accounts Receivable account as at Jan 1st, 2010 was $133,000. The company completed the following transactions during 2010 and 2011: 2010 June 10th Wrote off the balance of $600 from Manny Miller’s account as uncollectible September 15th Re-instated the account of Betty Lou and recorded the collection of $1200 as payment in full for her account which had been written off earlier December 31st Recorded the uncollectible account expense based on the aging schedule. The schedule showed that $14,100 of accounts receivable was estimated as uncollectible December 31st Made the closing entry for the uncollectible expense account 2011 Jan 17 Sold inventory to Jack Frost, $1100, on account August 15 Wrote off as…
AB Co made a credit sale to DE Co for $200,000 on July 19x9. It is known that at the end of 19x9 there was an outstanding receivable of $47,000. Managementestimates that $25,000 will be uncollectible.In July 19x9 the collections department stated that a receivable of $5,000 was written off frombookkeeping because it is impossible to receive payment from DE Co. Unexpectedly monthOctober 19x9 DE Co pays its outstanding debt. Requested:Prepare the adjusting entries and the journals needed to record the above transactions properlythe backup method as well as the direct deletion method!
Domino Company ages its accounts receivable to estimate uncollectible accounts expense. Domino began Year 2 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $44,010 and $3,440, respectively. During Year 2, the company wrote off $2,620 in uncollectible accounts. In preparation for the company's estimate of uncollectible accounts expense for Year 2, Domino prepared the following aging schedule: Number of Days Past Due Current 0-30 31-60 61-90 Over 90 Total Multiple Choice $4,296 What amount will be reported as uncollectible accounts expense on the Year 2 income statement? $1,676 $2,620 Receivables Amount $70,000 $5,116 26,700 6,760 3,420 3,100 $ 109,980 % Likely to be Uncollectible 1% 5% 10% 25% 50%
On December 31, 2017, Extreme Fitness has adjusted balances of $800,000 in Accounts Receivable and $55,000 in Allowance for Doubtful Accounts. On January 2, 2018, the company learns that certain customer accounts are not collectible, so management authorizes a write-off of these accounts totaling $10,000. What amount would the company report as its net accounts receivable on December 31, 2017? Prepare the journal entry to write off the accounts on January 2, 2018. Assuming no other transactions occurred between December 31, 2017, and January 3, 2018, what amount would the company report as its net accounts receivable on January 3, 2018? Has net accounts receivable changed from December 31, 2017?
During the year, Blossom Enterprises made an entry to write off an $8100 uncollectible account. Before this entry was made, the balance in accounts receivable was $100100 and the balance in the allowance account was $9100 (credit balance). The net realizable value of accounts receivable before and after the write-off entry was O$100100. Ⓒ$99100. O $82900 O $91000