Accounts Receivable Ledger The following revenue journal is for Westside Cleaners Inc. Assume that the beginning balances for the customer accounts were zero, except for Jordan Inc., which had a $490 beginning balance. In addition, there were no collections during the period. REVENUE JOURNAL Date Invoice No. Account Debited Post. Ref. Accounts Rec. Dr. Fees Earned Cr. 20Y3 May 1 112 Hazmat Safety Co. (a) $2,425 10 113 Masco Co. (b) 905 20 114 Alpha GenCorp (c) 1,480 27 115 Jordan Inc. (d) 1,635 31 (e) $6,445 a. The T account for Accounts Receivable and T accounts for the four accounts needed in the customer ledger are below. b. Post to the T accounts. c. Determine the balance in the accounts. d. Prepare a listing of the accounts receivable customer balances as of May 31, 20Y3. Westside Cleaners Inc. Accounts Receivable Customer Balances May 31, 20Y3 Alpha GenCorp $fill in the blank 586a7b0b401a07f_1 Hazmat Safety Co. fill in the blank 586a7b0b401a07f_2 Masco Co. fill in the blank 586a7b0b401a07f_3 Jordan Inc. fill in the blank 586a7b0b401a07f_4 Total accounts receivable $fill in the blank 586a7b0b401a07f_5
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.
The following revenue journal is for Westside Cleaners Inc. Assume that the beginning balances for the customer accounts were zero, except for Jordan Inc., which had a $490 beginning balance. In addition, there were no collections during the period.
| REVENUE JOURNAL | |||||
Date |
Invoice No. |
Account Debited |
Post. Ref. |
Accounts Rec. Dr. Fees Earned Cr. |
|
| 20Y3 | |||||
| May 1 | 112 | Hazmat Safety Co. | (a) | $2,425 | |
| 10 | 113 | Masco Co. | (b) | 905 | |
| 20 | 114 | Alpha GenCorp | (c) | 1,480 | |
| 27 | 115 | Jordan Inc. | (d) | 1,635 | |
| 31 | (e) | $6,445 | |||
a. The T account for Accounts Receivable and T accounts for the four accounts needed in the customer ledger are below.
b. Post to the T accounts.
c. Determine the balance in the accounts.
d. Prepare a listing of the accounts receivable customer balances as of May 31, 20Y3.
| Westside Cleaners Inc. | |
| Accounts Receivable Customer Balances | |
| May 31, 20Y3 | |
| Alpha GenCorp | $fill in the blank 586a7b0b401a07f_1 |
| Hazmat Safety Co. | fill in the blank 586a7b0b401a07f_2 |
| Masco Co. | fill in the blank 586a7b0b401a07f_3 |
| Jordan Inc. | fill in the blank 586a7b0b401a07f_4 |
| Total accounts receivable | $fill in the blank 586a7b0b401a07f_5 |
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