Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Michaela's Essential Oils Inc. has the following account balances at the 2015 calendar year-end: Accounts Receivable of $10,250 and Allowance of Doubtful Accounts of $1,500.

image text in transcribed
image text in transcribed
Michaela's Essential Oils Inc. has the following account balances at the 2015 calendar year-end: Accounts Receivable of $10,250 and Allowance of Doubtful Accounts of $1,500. What is the net realizable value that the company will report on its balance sheet? Estimate bad debt expense for Sarah's Book Co. using the information for the total accounts receivable in the table below. Complete the table by calculating the amount uncollectible in each aging bucket. Sum for the total uncollectible amount. Customer # Balance Not Past Due 1-30 31-60 61-90 91-180 181-365 Over 365 Total $15,250 7,500 2,350 1,600 1,450 1,000 750 600 Percent Uncollectible 1% 4% 7.5% 15% 30% 60% 82% Est. of uncollectible accounts $???? $xxx $xxx Sxxx SXXXX $xxx $xxx Sxxx What is the amount of the total estimate of uncollectible accounts

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

South Western Federal Taxation 2016 Corporations Partnerships Estates And Trusts

Authors: James Boyd, William Hoffman, Raabe, David Maloney, Young

39th Edition

978-1305399884

Students also viewed these Accounting questions