Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

need help with B and C Calculator Entries for Bad Debt Expense Under the Direct Write-off and Allowance Methods Seaforth International wrote of the following

need help with B and C image text in transcribed
image text in transcribed
Calculator Entries for Bad Debt Expense Under the Direct Write-off and Allowance Methods Seaforth International wrote of the following accounts receivable as uncollectible for the year ending December 31 Customer Kim Abel $24,300 31,195 29,715 Lee Drake Jenny Green Mke Lamb Total 17.890 $103, 100 The company prepared the following aging schedule for its accounts receivable on December 31 Aging Class (Number of Days Past Due) Receivables Balance on December Estimated Parcent of Uncollectible Accounts 0-30 days 31-60 days 61-90 days 91-120 days More than 120 days Total receivables $735.000 290,000 111.000 70,000 94,000 a. Journalize the write-offs under the direct write-off method. If an amount box does no Bed Debt Expert Accounts Receivable Kim Abel Accounts Receivable-Lee Drake Accounts Receivable Jenny Green Accounts Receivable Hike Lamb adjusting entry at year and to record e is determined to be worthless and written oft. There is d Under the direct write-off method, Bad Debt Expense is recorded when the custome Check Wort Under the direct write-off method, Bad Debit Expense is recorded when the customer's account is determined to be worthless and writer of There is no adusting entry at year and to record estimated bad debat court had a beginning balance of $89.000 and the company uses the analysis ofrecembles b. Journaltre the write-offs and the year-end adjusting entry under the allowance method, awning that the lowance method. If an amount box does not require an entry, leave it blank Allowance for Doubt Accounts 101,100 Accounts Receivable-Kim Abel Accounts Receivable-Lee Drake Accounts Receivable-Jenny Green Accounts Receivable-Mike Lamb Oh My Won Under the allowance method once a customer's account is identified as uncollectible, it is written off against the allowance account 6. How much higher (w wwuld Saforth International net income have been under the afowane method than under the direct write-off metro Compare the Bad Det Expense account balance for both methods Day Wort maltructor Save and

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

Primary English Audit And Test

Authors: Sue Reid, Angela Sawyer, Mary Bennett-Hartley

4th Edition

1446282759, 978-1446282755

More Books

Students also viewed these Accounting questions