Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

7. Monsoon Company reported allowance for doubtful accounts of P200,000 at the end of 2018 and P180,000 at the end of 2017. The entity reported

7. Monsoon Company reported allowance for doubtful accounts of P200,000 at the end of 2018 and P180,000 at the end of 2017. The entity reported doubtful accounts expense o P50,000 for 2018. What amount did the entity debit to the appropriate account to write off actual bad debts?

8. At the beginning of the current year, Malice Company reported allowance for doubtful accounts of P300,000. During the current year, the entity charged P650,000 to doubtful accounts expense, wrote off P450,000 of uncollectible accounts receivable, and unexpectedly recovered P100,000 of bad debts written off in the prior year. What is the allowance for doubtful accounts at year-end?

9. Omega Company prepared an aging of accounts receivable on December 31, 2018 and determined that the net realizable value of the accounts receivable was P2,500,000.

Allowance for uncollectible accounts on January 1 280,000

Accounts written off as uncollectible 230,000

Accounts receivable on December 31 2,700,000

Uncollectible accounts recovery 50,000

What is the uncollectible accounts expense for the current year?

10. Gruesome Company provided the following information for the current year:

Allowance for doubtful accounts on January 1 200,000

Credit Sales 5,000,000

Accounts Receivable deemed worthless and written off 300,000

As a result of a review and aging of accounts receivable, it has been determined that an allowance for doubtful accounts of P400,000 is needed on December 31.

What amount should be recorded as doubtful accounts expense for the current year?

11. Tantrum Company provided the following information in relation to accounts receivable at year-end:

Days Outstanding Estimated Amount % Uncollectible

0 - 60 1,200,000 1%

61 - 120 900,000 2%

Over 120 1,000,000 6%

3,100,000

During the current year, the entity wrote off P70,000 in accounts receivable and recovered P20,000 that had been written off in prior years. At the beginning of current year, the allowance for uncollectible accounts was P60,000. Under the aging method, what amount of uncollectible accounts expense should be reported for the current year?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Canadian Cases In Financial Accounting

Authors: Carol E. Dilworth, Joan E. D. Conrod

2nd Edition

256111405, 978-0256111408

More Books

Students also viewed these Accounting questions

Question

2. How do I perform this role?

Answered: 1 week ago