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Minta Corporation, is a leading manufacturer of sports apparel, shoes, and equipment. The company's 2 0 2 0 financial statements contain the following information (
Minta Corporation, is a leading manufacturer of sports apparel, shoes, and equipment. The company's financial statements
contain the following information $ in millions:
Balance sheets:
Accounts receivable, net $$
Allowance for uncollectible accounts
Income statements:
Sales revenue
Statement of Cash Flows:
Amortization, impairment and other
Decrease in accounts receivable
Assume that all sales are made on a credit basis.
Required:
What is the amount of gross total accounts receivable due from customers at the end of and
Assume that bad debt expense is included in "amortization, impairment and other," such that the decrease in accounts
receivable of $ reflects only the difference between sales and collections. Prepare a T account that depicts how sales,
collections, bad debt expense, and writeoffs of bad debts affect the balance of net accounts receivable with a debit, a credit or
not at all, and estimate Minta's bad debt expense.
Prepare a T account that depicts how bad debt expense and writeoffs of bad debts affect the balance of the allowance for
uncollectible accounts with a debit, credit or not at all, and estimate the amount of bad debts written off by Minta during
Analyze changes in the gross accounts receivable account to calculate the amount of cash received from customers during
Analyze changes in net accounts receivable to calculate the amount of cash received from customers during
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