Question
Assignment 8 - Receivables Question 1 Rodrigo Foods had an unadjusted credit balance in its Allowance for Doubtful Accounts at December 31 of $28,000. Calculate
Assignment 8 - Receivables
Question 1
Rodrigo Foods had an unadjusted credit balance in its Allowance for Doubtful Accounts at December 31 of $28,000.
Calculate the amount that should appear in the December 31, 2020, balance sheet as the allowance for doubtful accounts.
Prepare the adjusting entry assuming that Rodrigo Foods estimates uncollectible accounts based on an aging analysis as follows:
December 31 | Age of Accounts | Expected Percentage |
Accounts Receivable | Receivable | Uncollectible |
1,360,000 | Not Due | 1.25% |
643,000 | 1-30 days past due | 2% |
137,000 | 31-60 days past due | 6.5% |
88,000 | Over 60 days past due | 33% |
Accounts Receivable Chart | |||
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Date | Account Titles and Explanation | PR | Debit | Credit | |
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