The following events occur for Messer Engineering during 2024 and 2025, its first two years of operations. February 2, 2024 Provide services to customers on account for $28,400. July 23, 2024 Receive $19,000 from customers on account. December 31, 2024 Estimate that 25% of uncollected accounts will not be received. April 12, 2025 Provide services to customers on account for $41,400. June 28, 2025 Receive $6,000 from customers for services provided in 2024. September 13, 2025 Write off the remaining amounts owed from services provided in 2024. October 5, 2025 Receive $37,000 from customers for services provided in 2025. December 31, 2025 Estimate that 25% of uncollected accounts will not be received. Required: 1. Record transactions for each date. 2. Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts. 3. Calculate net accounts receivable reported in the balance sheet at the end of 2024 and 2025.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The following events occur for Messer Engineering during 2024 and 2025, its first two years of operations.

February 2, 2024 Provide services to customers on account for $28,400.
July 23, 2024 Receive $19,000 from customers on account.
December 31, 2024 Estimate that 25% of uncollected accounts will not be received.
April 12, 2025 Provide services to customers on account for $41,400.
June 28, 2025 Receive $6,000 from customers for services provided in 2024.
September 13, 2025 Write off the remaining amounts owed from services provided in 2024.
October 5, 2025 Receive $37,000 from customers for services provided in 2025.
December 31, 2025 Estimate that 25% of uncollected accounts will not be received.


Required:

1. Record transactions for each date.

2. Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts.

3. Calculate net accounts receivable reported in the balance sheet at the end of 2024 and 2025.

Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts.
Debit
December 31, 2024
December 31, 2025
Cash
Debit
0
0
Allowance for Uncollectible Accounts
Credit
0
Credit
December 31, 2024
December 31, 2025
Debit
December 31, 2024
December 31, 2025
Accounts Receivable
0
0
Credit
Transcribed Image Text:Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts. Debit December 31, 2024 December 31, 2025 Cash Debit 0 0 Allowance for Uncollectible Accounts Credit 0 Credit December 31, 2024 December 31, 2025 Debit December 31, 2024 December 31, 2025 Accounts Receivable 0 0 Credit
Calculate net accounts receivable reported in the balance sheet at the end of 2024 and 2025.
Total accounts receivable
Net accounts receivable
2024
2025
Transcribed Image Text:Calculate net accounts receivable reported in the balance sheet at the end of 2024 and 2025. Total accounts receivable Net accounts receivable 2024 2025
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