Corporate Financial Accounting
14th Edition
ISBN: 9781305653535
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Chapter 8, Problem 8.4EX
Entries for uncollectible receivables, using allowance method
Journalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables:
| May | 24 | Sold merchandise on account to Old Town Cafe $18,450. The cost of goods sold was $11,000. |
| Sept. | 30 | Received $6,000 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as uncollectible. |
| Dec. | 7 | Reinstated the account of Old Town Cafe that had been written off on September 30 and received $12,450 cash in full payment. |
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Entries for Uncollectible Receivables, using Allowance Method
Journalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables:
May 24
Sold merchandise on account to Old Town Cafe, $19,100. The cost of goods sold was $13,800.
Sept. 30
Received $4,400 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as uncollectible.
Dec. 7
Reinstated the account of Old Town Cafe that had been written off on September 30 and received $14,700 cash in full payment.
May 24-sale
Accounts receivable-old town cafe
sales
May 24-cost
Cost of goods sold
Inventoru
Sep 30
Cash
Allowance for doubtful accounts
accounts receivable old town cafe
Dec 7-reinstate
Accounts receivable old town cafe
Allowance for doubtful accounts
Dec 7-collection
cash
accounts receivable old town cafe
Entries for Uncollectible Receivables, using Allowance Method
Journalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables:
May 24
Sold merchandise on account to Old Town Cafe $16,100. The cost of goods sold was $11,600.
Sept. 30
Received $3,700 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as uncollectible.
Dec. 7
Reinstated the account of Old Town Cafe that had been written off on September 30 and received $12,400 cash in full payment.
For a compound transaction, if an amount box does not require an entry, leave it blank.
May 24-sale
Accounts Receivable-Old Town Cafe
Sales
May 24-cost
Cost of Goods Sold
Inventory
Sept. 30
Cash
Allowance for Doubtful Accounts
Accounts Receivable-Old Town Cafe
Dec. 7-reinstated
Accounts Receivable-Old Town Cafe…
Entries for Uncollectible Receivables, using Allowance Method
Journalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables:
May 24
Sold merchandise on account to Old Town Cafe, $19,300. The cost of goods sold was $13,900.
Sept. 30
Received $5,400 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as uncollectible.
Dec. 7
Reinstated the account of Old Town Cafe that had been written off on September 30 and received $13,900 cash in full payment.
If an amount box does not require an entry, leave it blank.
May 24-sale
May 24-cost
Accounting numeric field
Sept. 30
Dec. 7-reinstate
Dec. 7-collection
Chapter 8 Solutions
Corporate Financial Accounting
Ch. 8 - What are the three classifications of receivables?Ch. 8 - Dans Hardware is a small hardware store in the...Ch. 8 - What kind of an account (asset, liability, etc.)...Ch. 8 - After the accounts are adjusted and closed at the...Ch. 8 - A firm has consistently adjusted its allowance...Ch. 8 - Which of the two methods of estimating...Ch. 8 - Neptune Company issued a note receivable to...Ch. 8 - Prob. 8DQCh. 8 - The maker of a 240,000, 6%, 90-day note receivable...Ch. 8 - Prob. 10DQ
Ch. 8 - Direct write-off method Journalize the following...Ch. 8 - Allowance method Journalize the following...Ch. 8 - Percent of sales method At the end of the current...Ch. 8 - Analysis of receivables method At the end of the...Ch. 8 - Note receivable Prefix Supply Company received a...Ch. 8 - Prob. 8.1EXCh. 8 - Prob. 8.2EXCh. 8 - Entries for uncollectible accounts, using direct...Ch. 8 - Entries for uncollectible receivables, using...Ch. 8 - Entries to write off accounts receivable Creative...Ch. 8 - Providing for doubtful accounts At the end of the...Ch. 8 - Prob. 8.7EXCh. 8 - Aging of receivables schedule The accounts...Ch. 8 - Estimating allowance for doubtful accounts Evers...Ch. 8 - Adjustment for uncollectible accounts Using data...Ch. 8 - Estimating doubtful accounts Outlaw Bike Co. is a...Ch. 8 - Entry for uncollectible accounts Using the data in...Ch. 8 - Entries for bad debt expense under the direct...Ch. 8 - Entries for bad debt expense under the direct...Ch. 8 - Effect of doubtful accounts on net income During...Ch. 8 - Effect of doubtful accounts on net income Using...Ch. 8 - Entries for bad debt expense under the direct...Ch. 8 - Entries for bad debt expense under the direct...Ch. 8 - Determine due date and interest on notes Determine...Ch. 8 - Entries for notes receivable Valley Designs Issued...Ch. 8 - Entries for notes receivable The series of five...Ch. 8 - Entries for notes receivable, including year-end...Ch. 8 - Entries for receipt and dishonor of note...Ch. 8 - Entries for receipt and dishonor of notes...Ch. 8 - Receivables on the balance sheet List any errors...Ch. 8 - Allowance method entries The following...Ch. 8 - Aging of receivables; estimating allowance for...Ch. 8 - Compare two methods of accounting for...Ch. 8 - Details of notes receivable and related entries...Ch. 8 - Notes receivable entries The following data relate...Ch. 8 - Sales and notes receivable transactions The...Ch. 8 - Allowance method entries The following...Ch. 8 - Aging of receivables; estimating allowance for...Ch. 8 - Compare two methods of accounting for...Ch. 8 - Details of notes receivable and related entries...Ch. 8 - Prob. 8.5BPRCh. 8 - Sales and notes receivable transactions The...Ch. 8 - Continuing Company AnalysisAmazon: Accounts...Ch. 8 - Ralph Lauren: Accounts receivable turnover and...Ch. 8 - Prob. 8.3ADMCh. 8 - Prob. 8.4ADMCh. 8 - Ethics In Action Bud Lighting Co. is a retailer of...Ch. 8 - Communication On January 1, Xtreme Co. began...
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Accounts Receivable and Accounts Payable; Author: The Finance Storyteller;https://www.youtube.com/watch?v=x_aUWbQa878;License: Standard Youtube License