The revenue journal for Sapling Consulting Inc. follows. The accounts receivable controlling account has a July 1, 20Y2, balance of $770 consisting of an amount due from Aladdin Co. There were no collections during July. REVENUE JOURNAL Page 12 Date Invoice No. Account Debited Post. Ref. Accounts Rec. Dr. Fees Earned Cr. 20Y2 July 4 355 Clearmark Co. 1,870 9 356 Life Star Inc. 3,090 18 357 Aladdin Co. 1,425 22 359 Clearmark Co. 2,535 31 8,920 Question Content Area The T accounts for the accounts receivable customer accounts are set up below. a&b. Post the transactions from the revenue journal to the customer accounts and determine their ending balances. Aladdin Co. fill in the blank 2c6b20057f85074_2 fill in the blank 2c6b20057f85074_4 31 Bal. fill in the blank 2c6b20057f85074_5 Clearmark Co. fill in the blank 2c6b20057f85074_7 fill in the blank 2c6b20057f85074_9 31 Bal. fill in the blank 2c6b20057f85074_10 Life Star Inc. fill in the blank 2c6b20057f85074_12 31 Bal. fill in the blank 2c6b20057f85074_13 c. Prepare T accounts for the accounts receivable and fees earned accounts. Post control totals to the two accounts, and determine the ending balances. Accounts Receivable fill in the blank 2c6b20057f85074_15 fill in the blank 2c6b20057f85074_17 31 Bal. fill in the blank 2c6b20057f85074_18 Fees Earned fill in the blank 2c6b20057f85074_20 31 Bal. fill in the blank 2c6b20057f85074_21 Question Content Area d. Prepare a schedule of the customer account balances to verify the equality of the sum of the customer account balances and the accounts receivable controlling account balance. Sapling Consulting Inc.Accounts Receivable Customers BalancesJuly 31, 20Y2 Aladdin Co. $fill in the blank 43dcb9027fccff9_1 Clearmark Co. fill in the blank 43dcb9027fccff9_2 Life Star Inc. fill in the blank 43dcb9027fccff9_3 Total accounts receivable $fill in the blank 43dcb9027fccff9_4 Question Content Area e. All of the following are typical of a computerized system EXCEPT:
Bad Debts
At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
Posting a Revenue Journal
The revenue journal for Sapling Consulting Inc. follows. The
| REVENUE JOURNAL | Page 12 | ||||
Date |
Invoice No. |
Account Debited |
Post. Ref. |
Accounts Rec. Dr. Fees Earned Cr. |
|
| 20Y2 | |||||
| July 4 | 355 | Clearmark Co. | 1,870 | ||
| 9 | 356 | Life Star Inc. | 3,090 | ||
| 18 | 357 | Aladdin Co. | 1,425 | ||
| 22 | 359 | Clearmark Co. | 2,535 | ||
| 31 | 8,920 |
Question Content Area
The T accounts for the accounts receivable customer accounts are set up below.
a&b.
| Aladdin Co. | |||
|---|---|---|---|
|
|
fill in the blank 2c6b20057f85074_2 | ||
|
|
fill in the blank 2c6b20057f85074_4 | ||
| 31 Bal. | fill in the blank 2c6b20057f85074_5 |
| Clearmark Co. | |||
|---|---|---|---|
|
|
fill in the blank 2c6b20057f85074_7 | ||
|
|
fill in the blank 2c6b20057f85074_9 | ||
| 31 Bal. | fill in the blank 2c6b20057f85074_10 |
| Life Star Inc. | |||
|---|---|---|---|
|
|
fill in the blank 2c6b20057f85074_12 | ||
| 31 Bal. | fill in the blank 2c6b20057f85074_13 |
c. Prepare T accounts for the accounts receivable and fees earned accounts. Post control totals to the two accounts, and determine the ending balances.
| Accounts Receivable | |||
|---|---|---|---|
|
|
fill in the blank 2c6b20057f85074_15 | ||
|
|
fill in the blank 2c6b20057f85074_17 | ||
| 31 Bal. | fill in the blank 2c6b20057f85074_18 |
| Fees Earned | |||
|---|---|---|---|
|
|
fill in the blank 2c6b20057f85074_20 | ||
| 31 Bal. | fill in the blank 2c6b20057f85074_21 |
Question Content Area
d. Prepare a schedule of the customer account balances to verify the equality of the sum of the customer account balances and the accounts receivable controlling account balance.
| Aladdin Co. | $fill in the blank 43dcb9027fccff9_1 |
| Clearmark Co. | fill in the blank 43dcb9027fccff9_2 |
| Life Star Inc. | fill in the blank 43dcb9027fccff9_3 |
| Total accounts receivable | $fill in the blank 43dcb9027fccff9_4 |
Question Content Area
e. All of the following are typical of a computerized system EXCEPT:
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