Question
On its recent financial statements, Fine Foods reported the following information about net sales revenue and accounts receivable (amounts in thousands): 2015 2014 Accounts receivable,
On its recent financial statements, Fine Foods reported the following information about net sales revenue and accounts receivable (amounts in thousands):
2015 2014
Accounts receivable, net of allowances of $153 and $117 $13,589 $11,338
Net sales revenues 60,420 51,122
Fine Foods recorded bad debt expense of $88 and reinstated previously written-off accounts of
$12 during 2015.
REQUIRED:
What amount of bad debts was written off during 2015?
What amount of cash was collected from customers for 2015, assuming that all of Fine Foods sales during the period were on account?
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