5- On April 3rd, Snappy Sales decides to establish a $135.00 Petty Cash Account to relieve the burden on Accounting.

(a) Journalize this event.

(b) On April 11th, the petty cash fund has receipts for mail and postage of $32.75, contributions and donations of $25.25, meals and entertainment of $68.00 and $9.75 in cash. Journalize the replenishment of the fund.

(c) On April 12th, Snappy Sales decides to increase petty cash to $175.00. Journalize this event.

Date	Description	Post Ref	Debit	Credit

6 - At the end of the current year, Accounts Receivable has a balance of $700,000; Allowance for Doubtful Accounts has a credit balance of $5,500; and net sales for the year total $3,500,000. Bad debt expense is estimated at 1/2 of 1% of net sales.

Determine (a) the amount of the adjusting entry for uncollectible accounts; (b) the adjusted balances of Accounts Receivable, Allowance of Doubtful Accounts; and Bad Debt Expense; and (c) the net realizable value of accounts receivable.

Date	Description	Post Ref	Debit	Credit

7, The aging of Torme Designs shown below. Calculate the amount of each periodicity range that is deemed to be uncollectible. The Allowance for Doubtful Accounts carries a credit balance of $1,135.00. Write the adjusting entry for the end of the current year.

		Est Uncollectible Accts
Age Interval:	Balance:	Percentage:	Amount:
Not past due	850,000	3.50%
1~30 days past due:	47,500	5.00%
31~60 days past due:	21,750	10.00%
61~90 days past due:	11,250	20.00%
91~180 days past due:	5,065	30.00%
181~365 days past due:	2,500	50.00%
Over 365 days past due:	1,145	95.00%
Total:	939,210

Date	Description	Post Ref	Debit	Credit