EzScanner Corporation is the company that made the photocopier popular, but since then has grown a new business related to business process outsourcing. It recently disclosed the following information concerning the Allowance for Doubtful Accounts on its Form 10-K annual report. Year 2015 2014 2013 Allowance for Doubtful Accounts (dollars in millions) Increases for Decreases for Beginning Balance Bad Debt Expense Write-offs $102 $ 47 $ 37 114 62 a 150 b 84 Ending Balance $112 102 114 Required: 1-a. Create a T-account for the Allowance for Doubtful Accounts and enter into it the 2015 amounts from the above schedule. The balance at the beginning of each year in the Allowance for Doubtful Accounts is a credit balance. 1-b. Write the T-account in equation format to prove that the above items account for the changes in the account. 2. Record summary journal entries for 2015 related to (1) estimating bad debt expense and (i) writing off specific balances. 3. Supply the missing dollar amounts for a and b. 4-a. If EzScanner had written off an additional $22 of accounts receivable during 2013, by how much would its Net Accounts Receivable have decreased? 4-b. If EzScanner had written off an additional $22 of accounts receivable during 2013, by how much would its Income from Operations have decreased? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2 Reg 3 Req 4A Req 4B Create a T-account for the Allowance for Doubtful Accounts and enter into it the 2015 amounts from the above schedule. The balance at the beginning of each year in the Allowance for Doubtful Accounts is a credit balance. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Allowance for Doubtful Accounts Beg. Bal. End. Bal. Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2. Reg 3 Req 4A Req 4B Write the T-account in equation format to prove that the above items account for the changes in the account. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Beginning Balance + Ending Balance $ 0 + = Required: 1-a. Create a T-account for the Allowance for Doubtful Accounts and enter into it the 2015 amounts from the above schedule. The balance at the beginning of each year in the Allowance for Doubtful Accounts is a credit balance. 1-b. Write the T-account in equation format to prove that the above items account for the changes in the account. 2. Record summary journal entries for 2015 related to (1) estimating bad debt expense and (ii ) writing off specific balances. 3. Supply the missing dollar amounts for a and b. 4-a. If EzScanner had written off an additional $22 of accounts receivable during 2013, by how much would its Net Accounts Receivable have decreased? 4-b. If EzScanner had written off an additional $22 of accounts receivable during 2013, by how much would its Income from Operations have decreased? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2 Reg 3 Req 4A Reg 4B Record summary journal entries for 2015 related to (i) estimating bad debt expense and (ii) writing off specific balances. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record the adjusting entry for bad debts for 2015. Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2 Req 3 Req 4A Req 4B Supply the missing information for 2014 and 2013. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Allowance for Doubtful Accounts Balance at Beginning of Year Additions Charged to Bad Debt Expense $ 62 Deductions From Allowance Balance at End of Year 2014 $ 114 = $ 102 2013 150 84 $ 114 Req 1A Reg 1B Req 2 Reg 3 Req 4A Req 4B If EzScanner had written off an additional $22 of accounts receivable during 2013, by how much would its Net Accounts Receivable have decreased? $74 $69 $22 $0 Complete this question by entering your answers in the tabs below. Req 1A Req 1B Reg 2 Reg 3 Req 4A Req 4B If EzScanner had written off an additional $22 of accounts receivable during 2013, by how much would its Income from Operations have decreased? O$74 $69 $22 O $0
