Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Joyner Distributing is estimating its allowance for uncollectible accounts at January 31, 2002, based on the following information: Accounts Receivable, January 1 $1,375,000 Total accounts

Joyner Distributing is estimating its allowance for uncollectible accounts at January 31, 2002, based on the following information:

Accounts Receivable, January 1 $1,375,000

Total accounts Receivable write-offs during January $200,000

Allowance for uncollectible Accounts, January 1 $175,000

Total sales for January $10,000,000

Sixty percent of Joyner's total sales for January 2002 are credit sales. Based on past experience, Joyner estimates that 5% of its credit sales will be uncollectible. What is the uncollectible accounts expense for January 2002?

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

A Textbook Of Accounting For Management

Authors: S.N. Maheshwari

3rd Edition

9325956195, 978-9325956193

More Books

Students also viewed these Accounting questions