On January 1, 2011, Hungryman, Inc , has the following balances for accounts receivable and allowance for doubtful accounts Accounts Receivable $1,280,000 Allowance for Doubtful Accounts (a credit balance) 44,000 During 2011, Hungryman had $18,500,000 of credit sales, collected $17,945,000 of accou...

1 Accounts Receivable Beginning balance 1280000 Sales 185 ...

On January 1, 2011, Hungryman, Inc., has the following balances for accounts receivable and allowance for doubtful

Question:

On January 1, 2011, Hungryman, Inc., has the following balances for and allowance for doubtful ................. $1,280,000
Allowance for Doubtful Accounts (a credit balance) ...... 44,000
During 2011, Hungryman had $18,500,000 of credit sales, collected $17,945,000 of and wrote off $60,000 of as uncollectible. At year end, Hungry-man performs an aging of its balance and estimates that $52,000 will be uncollectible.
Required:
1. Calculate Hungryman’s preadjustment balance in on December 31, 2011.
2. Calculate Hungryman’s preadjustment balance in allowance for doubtful accounts on December 31, 2011.
3. Prepare the necessary adjusting entry for 2011. Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...