Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

How do you journalize the following? 2. After 6 months, the Richard Ellis account was written off as uncollectible. Journalize this transaction assuming the Direct

How do you journalize the following? image text in transcribed
image text in transcribed
2. After 6 months, the Richard Ellis account was written off as uncollectible. Journalize this transaction assuming the Direct Write-off method is used. Account Debit Credit 3. Five Months later, Richard Ellis paid $500 to settle his account. Journalize this event assuming the Direct Write-off method is used. Account Debit Credit ! 4. Beta Co, estimates its uncollectible A/R based on an analysis of receivables. Estimated uncollectibles at year end are $6,288. The Allowance for Doubtful Accounts currently has a $210 debit balance. a) Prepare the year-end adjusting entry under the Allowance method. Account Debit Credit b) Prepare the write-off of a $1,000 account using the Allowance method Account Debit Credit c) 6 Months later, the $1,000 was paid. Record using the Allowance method Account Debit Credit 9 SITT TT 5. June 1: Sold a $2,000 big-screen TV to a customer. The customer was asked to sign a 120-day, 6 percent note. Journalize this transaction Date Account Debit Credit June 1st TV 2,000 Notes Payable 2,000 6. Sept. 29: Received payment on the $2,000, 120-day, 6% note from #5 above. Journalize this transaction Date Account Debit Credit Cash 2,040 Notes Recievable 2000 Interest Revenue 7. Oct. 1: Granted a 60-day extension to Baker, who owed $1,000 on account. Baker signed a 60-day, 15% note for the amount owed. Journalize this event Date Debit Credit Account 8. Nov. 30: Received payment on the $1,000, 60-day, 15% note from Baker. Date Account Debit Credit 9. Acme Inc. had the following data for the years ending 12/31/19 and 12/31/18: 2019 2018 Sales 4,284,000 3,040,000 Acct. Rec. Beginning 550,000 400,000 Acct. Rec. Ending 640,000 550,000 a) Determine Accounts Receivable Turnover for 2019 and 2018 4284000/595000= 7.2% 3040000/475000= 64% b) Determine Day's Sales in Receivables for 2019 and 2018 (round to 1 decimal place) 2019 2018 595000/(4284000/365) = 50.7 days 475000/(3040000/365)= 57.0 days c) Evaluate the trend shown by these metrics

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Frank Woods Business Accounting Volume 2

Authors: Frank Wood, Alan Sangster

10th Edition

0273693107, 978-0273693109

More Books

Students also viewed these Accounting questions

Question

Online shopping in covid 1 9

Answered: 1 week ago

Question

7 Describe the role of an HR business partner

Answered: 1 week ago

Question

5 Explain the concept of the psychological contract.

Answered: 1 week ago