Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

all pics for the same question eBook Show Me How Entries for uncollectible receivables, using allowance method Chart of Accounts Journal Instructions May 24 Sold

all pics for the same question

image text in transcribed

image text in transcribed

image text in transcribed

eBook Show Me How Entries for uncollectible receivables, using allowance method Chart of Accounts Journal Instructions May 24 Sold merchandise on account to Old Town Cafe $44.710. The cost of the goods sold was $20,000, Received $10,390 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as Sept. 30 Dec 7 uncollectible. Reinstated the account of Old Town Cafe that had been written off on September 30 and received $34,320 cash in full payment. Joumalize the above transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables. Refer to the Chart of Accounts for exact wording of account titles. Dec. 7 Accounts Receivable-Old Town Cafe 34 320.00 Allowance for Doubtful Accounts 34,320.00 Dec. 7 Cash 34,320.00 10 54,520.00 Accounts Receivable-Old Town Cafe Previous Next Instructions Chart of Accounts CHART OF ACCOUNTS Zippy Interiors Company General Ledger ASSETS REVENUE le receivable Jol 110 Cash 410 Sales wo 610 Interest Revenue 111 Petty Cash 121 Accounts Receivable-Old Town Cafe 129 Allowance for Doubtful Accounts EXPENSES 131 Interest Receivable 510 Cost of Goods Sold 132 Notes Receivable 141. Inventory 19 145 Office Supplies 148 Store Supplies 520 Sales Salanes Expense 521 Advertising Expense 522 Depreciation Expense-Store Equipment 523 Delivery Expense 524 Repairs Expense 529 Selling Expenses 530 Office Salaries Expense 9 151 Prepaid Insurance 181 Land 191 Store Equipment 192 Accumulated Depreciation-Store Equipment 531 Rent Expense Chart of Accounts Journal Instructions X Journal Shaded cells have feedbac JOURNAL Score: 122/138 ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1 May 24 Accounts Receivable-Old Town Cafe 44.710.00 1 2 Sales 44,710.00 1 3 May 24 Cost of Goods Sold 26.090.00 1 4 Sep 30 Cash 10,390.00 1 $ Allowance for Doubtful Accounts 34,320.00 1 6 Accounts Receivable-Old Town Cafe 44,710.00 7 Dec 7 Accounts Receivable-Old Town Cafe 34,320.00 G Allowance for Doubtful Accounts 34,320.00 9 Dec. 7 Cash 34,320.00 1 110 Accounts Receivable-Old Town Cafe 54,320.00 11 Points: 23.87/27

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

How To Perform A GDPR Compliance Audit

Authors: Kieran McLaughlin

1st Edition

1798935120, 978-1798935125

More Books

Students also viewed these Accounting questions