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Could you please number the questions then answer them separately in accounting format. also, please make it clear enough so I can understand it. You
Could you please number the questions then answer them separately in accounting format. also, please make it clear enough so I can understand it.
You are the Accountant for WanneBes Corporation WannsBee Corporation has $1,500,000 of Receivables on December 31, 2000. WannaBe uses the Allowance Method and historical data indicates that 7% of receivables become uncollectible. The end of year balance in the ADA is 0. The following are the 2000 end of year receivables. AR-Goodby AR-BusyRody $25,000 $75,000 $55.000 AR-NapnyNay $250,000 AR-AlphaRetCa S130,000 $98.000 AR-HappytHa 5289,000 $47,000 AR-JunpingJa $66,000 AR-TipsyTuo AR-MerrMen S145,000 AR-CurlyCues 5211,000 AR-BrettyReay S109,000 During 2001 the following events occurred: Goodbay defaulted. BusyRody declared bankruptcy but paid $19,000. DippyRo paid the account in full. MeryMen still owes $48,000. CudyCues has not answered the phone formonths(write it off BrettyRennx paid its account. NannyNaoy paid $150,000 and on November 21 made a 120 note at 4% APR for the remainder AlphaRetCo paid its account in full. psyTuo has closed its business. HappyHart paid its bill. MtWan still owes its account. Jumping-AX paid its bill and will not pay the rest. The Receivables balance at the end of the year is 52,235,000 Assiqnments: (1) Prepare the Required Adjusting Journal Entry for December 31, 2000 (2) Prepare journal entries for the accounts to be written off for 2001 (3) Prepare the Required Adjusting Journal Entry for December 31, 2001Step by Step Solution
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