Question
Anaheim Motors has the following account title balances as of December 31. Sales Revenue 195,000 Allowance for Credit Loss 1,900 debit Accounts Receivable 45,000 a.
Anaheim Motors has the following account title balances as of December 31.
Sales Revenue 195,000
Allowance for Credit Loss 1,900 debit
Accounts Receivable 45,000
a. If Anaheim Motors estimated uncollectibles based on 10% of sales, what would the uncollectible amount be and what would be reported on the balance sheet?
b. If Anaheim Motors estimated uncollectibles based on 3% of accounts receivable, what would the uncollectible amount be and what would be reported on the balance sheet?
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Contemporary Auditing University Of Southern Indiano
Authors: Michael C. Knapp
7th Edition
0324658052, 978-0324658057
