Question
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?
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