Corporate Financial Accounting
14th Edition
ISBN: 9781305653535
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Chapter 3, Problem 3.11EX
The balance in the supplies account, before adjustment at the end of the year, is $4,850. Journalize the adjusting entry required if the amount of supplies on hand at the end of the year is $880.
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Current Attempt in Progress
The ledger of Cullumber Company at the end of the current year shows Accounts Receivable $68,000, Credit Sales $810,000, and
Sales Returns and Allowances $38,000. Prepare journal entries for each separate scenario below.
If Cullumber Company uses the direct write-off method to account for uncollectible accounts, journalize the adjusting
entry at December 31, assuming Cullumber Company determines that Matisse's $500 balance is uncollectible.
(a)
If Allowance for Doubtful Accounts has a credit balance of $900 in the trial balance, journalize the adjusting entry at
December 31, assuming bad debts are expected to be 8% of accounts receivable.
(b)
If Allowance for Doubtful Accounts has a debit balance of $490 in the trial balance, journalize the adjusting entry at
December 31, assuming bad debts are expected to be 7% of accounts receivable.
(c)
(Credit account titles are automatically indented when amount is entered. Do not indent manually.)
No. Account Titles…
If necessary, record year-end adjusting entries for uncollectible accounts.Prepare the aging schedule for the following accounts receivable:
Ageing classification (numbers of due days)
Balance sheet as at 31 December
Estimate of the percentage of the account that is uncollectible
0-30 days
$120,000
1%
31-60 days
80,100
2 %
61-90 days
21,000
11%
91- 120 days
9,000
23%
Más de 120 days
15,300
65%
Total accounts receivable
$245,400
Journalize the transactions under the allowance method, assuming that the allowance account had a beginning balance of $18,330 at the beginning of the year and the company uses the analysis of receivables method. Rustic Tables Company prepared the following aging schedule for its accounts receivable:
Aging Class (Numberof Days Past Due)
Receivables Balanceon December 31
Estimated Percent ofUncollectible Accounts
0-30 days
$293,000
1
%
31-60 days
110,000
8
61-90 days
35,000
20
91-120 days
13,000
55
More than 120 days
18,000
80
Total receivables
$469,000
Chapter 3 Solutions
Corporate Financial Accounting
Ch. 3 - How are revenues and expenses reported on the...Ch. 3 - Is the matching concept related to (A) the cash...Ch. 3 - Why are adjusting entries needed at the end of an...Ch. 3 - What is the difference between adjusting entries...Ch. 3 - Identify the four different categories of...Ch. 3 - If the effect of the debit portion of an adjusting...Ch. 3 - If the effect of the credit portion of an...Ch. 3 - Prob. 8DQCh. 3 - Prob. 9DQCh. 3 - (A) Explain the purpose of the two accounts:...
Ch. 3 - Account requiring adjustment Indicate with a Yes...Ch. 3 - Type of adjustment Classify the following items as...Ch. 3 - Adjustment for accrued revenues At the end of the...Ch. 3 - Adjustment for accrued expense Prospect Realty Co....Ch. 3 - Adjustment for unearned revenue On June 1, 2018,...Ch. 3 - Adjustment for prepaid expense The prepaid...Ch. 3 - Adjustment for depreciation The estimated amount...Ch. 3 - Effect of omitting adjustments For the year ending...Ch. 3 - Effect of errors on adjusted trial balance For...Ch. 3 - Classifying types of adjustments Classify the...Ch. 3 - Classifying adjusting entries The following...Ch. 3 - Adjusting entry for accrued fees At the end of the...Ch. 3 - Effect on omitting adjusting entry The adjusting...Ch. 3 - Prob. 3.5EXCh. 3 - Prob. 3.6EXCh. 3 - Effect of omitting adjusting entry Accrued...Ch. 3 - Prob. 3.8EXCh. 3 - Adjusting entries for unearned fees The balance in...Ch. 3 - Prob. 3.10EXCh. 3 - Adjusting entry for supplies The balance in the...Ch. 3 - Determining supplies purchased The supplies and...Ch. 3 - Effect of omitting adjusting entry At March 31,...Ch. 3 - Adjusting entries for prepaid insurance The...Ch. 3 - Adjusting entries for prepaid insurance The...Ch. 3 - Adjusting entries for unearned and accrued fees...Ch. 3 - Prob. 3.17EXCh. 3 - Adjustment for depreciation The estimated amount...Ch. 3 - Determining fixed assets book value The balance in...Ch. 3 - Prob. 3.20EXCh. 3 - Effect s of errors on financial statements For a...Ch. 3 - Effects of errors on financial statements For a...Ch. 3 - Effects of errors on financial statements The...Ch. 3 - Effects of errors on financial statements If the...Ch. 3 - Prob. 3.25EXCh. 3 - Adjusting entries from trial balances The...Ch. 3 - Prob. 3.27EXCh. 3 - Adjusting entries On March 31, the following data...Ch. 3 - Prob. 3.2APRCh. 3 - Adjusting entries Reliable Repairs Service, an...Ch. 3 - Adjusting entries Good Note Company specializes in...Ch. 3 - Adjusting entries and adjusted trial balances...Ch. 3 - Adjusting entries and errors At the end of April,...Ch. 3 - Adjusting entries On May 31, the following data...Ch. 3 - Adjusting entries Selected account balances before...Ch. 3 - Adjusting entries Crazy Mountain Outfitters Co.,...Ch. 3 - Adjusting entries The Signage Company specializes...Ch. 3 - Adjusting entries and adjusted trial balances...Ch. 3 - Adjusting entries and errors At the end of August,...Ch. 3 - The unadjusted trial balance that you prepared for...Ch. 3 - Prob. 3.1ADMCh. 3 - Chipotle: Vertical analysis Chipotle Mexican...Ch. 3 - Prob. 3.3ADMCh. 3 - Prob. 3.4ADMCh. 3 - Prob. 3.1TIFCh. 3 - Prob. 3.3TIF
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