Use the following information in the adjusted trial balance for Stockton Company to answer the followingquestions.Stóckton CompanyAdjusted Trial BalanceFor the Year ended December 31, 20XX$ 6,030Cash2,100Accounts Receivable700Prepaid ExpensesEquipmentAccumulated DepreciationAccounts PayableNotes PayableBob Steely, CapitalBob Steely, WithdrawalsFees EarnedWages ExpenseRent ExpenseUtilities ExpenseDepreciation ExpenseMiscellaneous Expense13,700$ 1,1001,9004,20012,9407908,7502,5001,96077525085$28,890Totals$28,890 Determine the total liabilities for the period.

Formula to calculate total liabilites:Total liabilites =Notes payable + Accounts payable

Answered: Use the following information in the…

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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Roth Service Company experienced the following transactions for Year 1, its first year of operations: Provided $72,000 of services on account. Collected $41,000 cash from accounts receivable. Paid $28,000 of salaries expense for the year. Roth adjusted the accounts using the following information from an accounts receivable aging schedule: Number of Days Past Due Amount Percent Likely to Be Uncollectible Allowance Balance Current $16, 800 0.01 0 to 30 5,900 0.05 31 to 60 3,400 0.10 61 to 90 1, 100 0.30 Over 90 days 3,800 0.50 Required Organize the transaction data in accounts under an accounting equation. Prepare an income statement for Roth Service Company for Year 1. What is the net realizable value of the accounts receivable at December 31, Year 1?
Ruiz Company's Accounts Receivable balance at December 31 was $150,000 and there was a balance of $700 in the Allowance for Uncollectible Accounts. Sales for the year were $900,000. The firm estimates credit losses for the year at 1.5% of sales. After the appropriate adjusting entry is made for credit losses, what is the net amount of accounts receivable included in the current assets at year-end? Select one: a. $150,000 b. $135,800 c. $162,700 d. $138,700 e. None of the above
Entries for Bad Debt Expense under the Direct Write-Off and Allowance Methods The following selected transactions were taken from the records of Shipway Company for the first year of its operations ending December 31: Apr. 13. Wrote off account of Dean Sheppard, $6,720. May 15. Received $3,360 as partial payment on the $8,940 account of Dan Pyle. Wrote off the remaining balance as uncollectible. July 27. Received $6,720 from Dean Sheppard, whose account had been written off on April 13. Reinstated the account and recorded the cash receipt. Dec. 31. Wrote off the following accounts as uncollectible (record as one journal entry): Paul Chapman $4,500 Duane DeRosa 3,360 Teresa Galloway 2,020 Ernie Klatt 2,820 Marty Richey 1,010 31. If necessary, record the year-end adjusting entry for the uncollectible accounts. If no entry is required, select "No entry" and leave the amount boxes blank. If an amount box does not require an entry, leave it blank.…
The unadjusted trial balance of Fortune Company included the following accounts: Debit $ Sales (80% on credit) for the year ended 31 Dec 2023 Credit $ 900,500 Accounts Receivable 31 Dec 2023 209,070 Allowance for Impairment 1 Jan 2023 3,500 The aging of accounts receivable produced the following five groupings. Days Past Due Amount Estimated Uncollectible % of Not yet due 85,000 1% 1-30 days past due 56,000 3% 31-60 days past due 33,500 5% 61-90 days past due 18,570 10% Over 90 days past due 16,000 15% Required: Prepare the adjusting entries to record the impairment loss of receivable for the year 2023. If Fortune Company: (a) (b) uses the Statement of Financial Position Approach to estimate the uncollectible accounts. Show your workings. uses the Income Statement Approach to estimate the uncollectible accounts, and it is expected that 1% of the net credit sales for the year will be uncollectible.
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Weat
Johnson company’s financial year ended on December 31, 2010. All the transactions related to the company’s uncollectible accounts are can be found below: January 15 Wrote of $440 account of Miller Company as uncollectible April 2nd Re-establish the account of Louisa Teller and record the collection of $1,050 as payment in full for her account which had been written off earlier July 31 Received 40% of the $700 balance owed by William John and wrote off the remainder as uncollectible August 15 Wrote off as uncollectible the accounts of Sherwin Company, $1,700 and V. Vasell $2,200 September 26 Received 25% of the $1,140 owed by Grant Company and wrote off the remainder as uncollectible October 16 Received $741 from M. Fuller in full payment of his account which had been written off earlier as uncollectible December 31 Estimated uncollectible accounts expense for the year to be 1.5% of net credit sales of $521,000 The accounts…
company’s accounting records provide the following information concerning certain account balances and changes in the account balances during the current year. Transaction information is missing from each of the below. Prepare the journal entry to record the information for each account. b. Allowance for Doubtful Accounts: Jan. 1 balance, $1,500; Dec. 31 balance, $2,200; adjusting entry increasing allowance on Dec. 31, $4,800. Record write-off uncollectible accounts receivable. c. Inventory of office supplies: Jan. 1 balance, $1,500; Dec. 31 balance, $1,350; office supplies expense for the year, $9,500. Record purchase of office supplies. d. Equipment: Jan. 1 balance, $20,500; Dec. 31 balance, $18,000; equipment costing $8,000 was sold during the year. Record purchase of equipment. e. Accounts Payable: Jan. 1 balance $9,000; Dec. 31 balance, $11,500; purchases on - account for the year, $48,000. Record cash payments. Please dont provide solution in image thnx
At the beginning of the year, the balance in the Allowance for Doubtful Accounts is a credit of $743. During the year, $344 of previously written off accounts were reinstated and accounts totaling $756 are written off as uncollectible. The end-of-year balance (before adjustment) in the Allowance for Doubtful Accounts should be the one listed below. a.$331 b.$756 c.$344 d.$743
Maxwell Inc., analyzed its accounts receivable balances at December 31, and arrived at the aged balances listed below, along with the percentage that is estimated to be uncollectible: % Considered Age Group Balance Uncollectible 0-30 days past due $300,000 1% 31-60 days past due 54,000 3% 61-120 days past due 60,000 6% 121-180 days past due 21,000 10% Over 180 days past due 6,000 20% $441,000 The company handles credit losses using the allowance method. The credit balance of the Allowance for Doubtful Accounts is $2,520 on December 31, before any adjustments. a. Determine the amount of the adjustment for estimated credit losses on December 31. b. Determine the financial statement effect of a write off of Porter Company's account on the following May 12, in the amount of $1,440. Use negative signs with answers, when appropriate. If a transaction increases and decreases the same Balance Sheet category, enter the increase amount in the first row and the decrease amount directly below (in…
At the beginning of the year, the balance in Allowance for Doubtful Accounts is a credit of $752. During the year, previously written off accounts of $141 are reinstated and accounts totaling $710 are written off as uncollectible. The end-of-year balance (before adjustment) in Allowance for Doubtful Accounts should be a.$183 b.$710 c.$141 d.$752

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