The statement of financial position of Spongebob Company shows accounts receivable at January 1, 2019 as follows: Accounts Receivable P450,000 Allowance for doubtful accounts 9,000 During 2019, transactions relating to the accounts receivable were as follows: • Sales on account, P4,800,000 • Cash collections of accounts receivable totaled P3,920,000, after discounts of P80,000 were allowed for prompt раyment • Bad accounts previously written off in prior year amounting to P5,000 were recovered. • The company decided to provide P26,000 for doubtful accounts by a journal entry at the end of the year. • Accounts receivable of P700,000 have been pledged to a local bank on a loan of P400,000. Collections of P150,000 were made on those receivables (not included in the collection previously given) and applied as partial payment for the loan. The net realizable value of accounts receivable at December 31, 2o19 was?

The statement of financial position of Spongebob Company shows accounts receivable at January 1, 2019 as follows: Accounts Receivable P450,000 Allowance for doubtful accounts 9,000 During 2019, transactions relating to the accounts receivable were as follows: • Sales on account, P4,800,000 • Cash collections of accounts receivable totaled P3,920,000, after discounts of P80,000 were allowed for prompt раyment • Bad accounts previously written off in prior year amounting to P5,000 were recovered. • The company decided to provide P26,000 for doubtful accounts by a journal entry at the end of the year. • Accounts receivable of P700,000 have been pledged to a local bank on a loan of P400,000. Collections of P150,000 were made on those receivables (not included in the collection previously given) and applied as partial payment for the loan. The net realizable value of accounts receivable at December 31, 2o19 was?

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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