E Rea eBook Allowance Method for Accounting for Bad Debts At the beginning of 2017, EZ Tech Company's Accounts Receivable balance was $134,000, and the balance in Allowance for Doubtful Accounts was $2,300. EZ Tech's sales in 2017 were $1,010,000, 90% of which were on credit. Collections on account during the year were $640,000. The company wrote off $4,000 of uncollectible accounts during the year. Required: 1. Identify and analyze the sales during 2017 eBook Assets Liabilities Allowance for Doubtful Accounts Equity No Entry 70,700 Feedback Check My Work Partially correct b. Identify and analyze the adjustments to recognize bad debts assuming that amounts expected to be uncollectible are 7% of the year-end accounts receivable. Activity @perati How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Remember: if a contra account is increased, it will have the effect of decreasing the corresponding financial statement item. If a contra account is decreased, it wi have the effect of increasing the corresponding financial statement item. Balance Sheet Stockholders' Assets Liabilities Equity Feedback Check My Work Incorrect 3. What is the net realizable value of accounts receivable on December 31, 2017, under each assumption in part (2)? Using the percentage of sales approach, the net realizable value of the receivables is? Using the percentage of year-end receivables approach, the net realizable value of the receivables is? dinancial Svatement item is not directed, statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Remember: if a contra account is increased, it will have the effect of decreasing the corresponding financial statement item. If a contra account is decreased, it will have the effect of increasing the corresponding financial statement item. Income Statement Net Revenues Expenses = Incon Feedback Check My Work Incorrect 3. What is the net realizable value of accounts receivable on December 31, 2017, under each assumption in part (2)? Using the percentage of sales approach, the net realizable value of the receivables is? $ Using the percentage of year-end receivables approach, the net realizable value of the receivables is?. $ E Rea eBook Allowance Method for Accounting for Bad Debts At the beginning of 2017, EZ Tech Company's Accounts Receivable balance was $134,000, and the balance in Allowance for Doubtful Accounts was $2,300. EZ Tech's sales in 2017 were $1,010,000, 90% of which were on credit. Collections on account during the year were $640,000. The company wrote off $4,000 of uncollectible accounts during the year. Required: 1. Identify and analyze the sales during 2017 eBook Assets Liabilities Allowance for Doubtful Accounts Equity No Entry 70,700 Feedback Check My Work Partially correct b. Identify and analyze the adjustments to recognize bad debts assuming that amounts expected to be uncollectible are 7% of the year-end accounts receivable. Activity @perati How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Remember: if a contra account is increased, it will have the effect of decreasing the corresponding financial statement item. If a contra account is decreased, it wi have the effect of increasing the corresponding financial statement item. Balance Sheet Stockholders' Assets Liabilities Equity Feedback Check My Work Incorrect 3. What is the net realizable value of accounts receivable on December 31, 2017, under each assumption in part (2)? Using the percentage of sales approach, the net realizable value of the receivables is? Using the percentage of year-end receivables approach, the net realizable value of the receivables is? dinancial Svatement item is not directed, statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Remember: if a contra account is increased, it will have the effect of decreasing the corresponding financial statement item. If a contra account is decreased, it will have the effect of increasing the corresponding financial statement item. Income Statement Net Revenues Expenses = Incon Feedback Check My Work Incorrect 3. What is the net realizable value of accounts receivable on December 31, 2017, under each assumption in part (2)? Using the percentage of sales approach, the net realizable value of the receivables is? $ Using the percentage of year-end receivables approach, the net realizable value of the receivables is?. $