1.The following accounts were abstracted from Todd Company's unadjusted trial balance at December 31:

Todd Company estimates that 3% of net credit sales will become uncollectible. After adjustment at December 31, the allowance for doubtful accounts should have a credit balance of:

Select one:

a. $24,000

b. $34,000

c. $90,000

d. $80,000

e. $100,000

2.

The following information was taken from Cody Co.'s accounting records for the year ended December 31, 2016.

There was no work in process inventory at the beginning or end of the year. Cody's 2016 cost of goods sold is:

Select one:

a. $895,000

b. $910,000

c. $950,000

d. $945,000

e. $865,000

Debit $800,000 Credit Accounts Receivable Allowance for Doubtful Accounts Net Credit Sales 10,000 $3,000,000 Increase in raw materials inventory Decrease in finished goods inventory Raw material purchased Direct labor payroll Factory overhead Freight-out $15,000 35,000 430,000 200,000 300,000 45,000