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Part 1-Accounts Receivable Nordstrom, Inc. provided the following information on its accounts receivables in Note 3 of its10K report for fiscal year 2014 (all numbers
Part 1-Accounts Receivable Nordstrom, Inc. provided the following information on its accounts receivables in Note 3 of its10K report for fiscal year 2014 (all numbers in million \$): NOTE 3: ACCOUNTS RECENAREL The components of accounts receivible are as follow: Credit Quality The primary indicators of the credit equalify of our credit card receivables are aging and delinquency, particulaty the levels of account. delinquency stalus of our credt card receivables: Write-offs and recoveries were as follows: Additional information: The allowance account as of the end of fiscal year 2013 (i.e., Feb 1, 2014) had a balance of $80. Credit sales during the 2014 fiscal year were $10,262. Historically, 1% of current accounts, 5% of accounts 129 days outstanding, and 95% of accounts with a balance more than 30 days outstanding are uncollectible. Answer the following questions using the above information. Show all your work. 3- (16 points) Construct the T-accounts for allowance for bad debt and accounts receivables for Nordstrom for fiscal year 2014 (you do not need to show any joumal entries). Show all your calculations in the space provided below the tubles. Accounts receivable Show calculations below and on the next page (if necessary)
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