Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

My answer was incorrect, help Required Informetlon Problem 5-25 Accounting for uncollectible accounts: Percent of receivables allowance method LO 5-3 The following Information appliles to

image text in transcribedMy answer was incorrect, help

Required Informetlon Problem 5-25 Accounting for uncollectible accounts: Percent of receivables allowance method LO 5-3 The following Information appliles to the questions dlsplayed below] Sage Inc. experienced the following transactions for 2018, its first year of operations: Part 3 of 3 1. Issued common stock for $120,000 cash. 2. Purchased $200,000 of merchandise on account. 3. Sold merchandise that cost $156,000 for $310,000 on account. 4. Collected $278,000 cash from accounts recelvable 5. Pald $180,000 on accounts payable 6. Pald $46,000 of salaries expense for the year 7. Pald other operating expenses of $62,000. 8. Sage adjusted the accounts using the following information from an accounts receivable aging schedule O/10 points awarded Scored Percent Likely to Be Uncollectible e.01 8.85 8.18 .20 0.58 Allowance Balance Number of Days Past Due Amount Current 8-30 31-6e 61-90 Over 98 days $19, 200 8,886 1, 600 1,600 1,680 Problem 5-25 Part c c. What Is the net realzable value of the accounts recelvable at December 31, 2018? 279,872

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_2

Step: 3

blur-text-image_3

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

ISE Fundamental Managerial Accounting Concepts

Authors: Thomas Edmonds, Christopher Edmonds, Mark Edmonds, Philip Olds

9th Edition

1260565483, 9781260565485

More Books

Students also viewed these Accounting questions

Question

3. What would you do now if you were Mel Fisher?

Answered: 1 week ago

Question

14.3 Explain WHMISlegislation.

Answered: 1 week ago