Could you help me with these questions. Couldn't figure it out.
Percent of Sales Method At the end of the current year, Accounts Receivable has a balance of $885,000; Allowance for Doubtful Accounts has a debit balance of $8,000; and sales for the year total $3,980,000. Bad debt expense is estimated at 1/4 of 1% of sales. a. Determine the amount of the adjusting entry for uncollectible accounts. 95:1 b. Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense. Accounts Receivable $ Allowance for Doubtful Accounts $ HUB Bad Debt Expense $ c. Determine the net realizable value of accounts receivable. WC] Analysis of Receivables Method At the end of the current year, Accounts Receivable has a balance of $810,000; Allowance for Doubtful Accounts has a debit balance of $7,500; and sales for the year total $3,650,000. Using the aging method, the balance of Allowance for Doubtful Accounts is estimated as $30,700. a. Determine the amount of the adjusting entry for uncollectible accounts. $:l b. Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense. Accounts Receivable $ Allowance for Doubtful Accounts $ Bad Debt Expense $ HUD c. Determine the net realizable value of accounts receivable. l$:l Entries for Uncollectible Receivables, using Allowance Method Journalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables: May 24 Sold merchandise on account to Old Town Cafe, $10,800. The cost of goods sold was $7,800. Sept. 30 Received $2,900 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as uncollectible. Dec. 7 Reinstated the account of Old Town Cafe that had been written off on September 30 and received $7,900 cash in full payment. If an amount box does not require an entry, leave it blank. May 24-sale May 24-cost Sept. 30 Dec. 7-reinstate Dec. 7-collection 10 00 000 00 10 00 000 00Providing for Doubtful Accounts At the end of the current year, the accounts receivable account has a debit balance of $770,000 and sales for the year total $8,730,000. 3. The allowance account before adjustment has a debit balance of $10,400. Bad debt expense is estimated at 3/4 of 1% of sales. b. The allowance account before adjustment has a debit balance of $10,400. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $33,300. c. The allowance account before adjustment has a credit balance of $8,900. Bad debt expense is estimated at 1/4 of 1% of sales. d. The allowance account before adjustment has a credit balance of $8,900. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $73,900. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) listed above. Estimating Allowance for Doubtful Accounts Evers Industries has a past history of uncollectible accounts, as follows. Age Class Percent Uncollectible Not past due 1 % 1-30 days past due 3 31-60 days past due 12 61-90 days past clue 30 Over 90 days past due 75 Estimate the allowance for doubtful accounts, based on the aging of receivables information provided in the chart below. Evers Industries Estimate of Allowance for Doubtful Accounts Not Past Days Past Days Past Days Past Days Past B I ance Due Due 1-30 Due 31-60 Due 61-90 Due Over 90 Total receivables 1,124,500 607,400 233,000 121,600 96,500 66,000 Percentage uncollectible 1% 3% 12% 30% 75% Allowance for doubtful accounts C] E] E] C] C] [:]
