The following details were obtained from the accounting records of Civil Construction Consultants at the end of the financial year. Consulting fee owing $517,000 (Includes GST) Allowance for doubtful debts 30,000 Debts to be written off 10 010 (Includes GST) The firm requires an allowance for doubtful debts of 10% of outstanding fees at 30 June. (a) Prepare the appropriate general journal entries. (b) Prepare and balance the Allowance for Doubtful Debts account at 30 June 2019. (c) Show the amount(s) to be charged as bad debts expense for the year.

The following details were obtained from the accounting records of Civil Construction Consultants at the end of the financial year. Consulting fee owing $517,000 (Includes GST) Allowance for doubtful debts 30,000 Debts to be written off 10 010 (Includes GST) The firm requires an allowance for doubtful debts of 10% of outstanding fees at 30 June. (a) Prepare the appropriate general journal entries. (b) Prepare and balance the Allowance for Doubtful Debts account at 30 June 2019. (c) Show the amount(s) to be charged as bad debts expense for the year.

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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