Question
Paub Company provided the following information for the current year: Allowance for doubtful accounts, Jan 1 200,000 Credit Sales 9,500,000 Sales discount 1,000,000 Sales Return
Paub Company provided the following information for the current year:
| Allowance for doubtful accounts, Jan 1 | 200,000 |
| Credit Sales | 9,500,000 |
| Sales discount | 1,000,000 |
| Sales Return | 500,000 |
| Accounts written off | 100,000 |
| Recovery of accounts written off | 50,000 |
The company estimates uncollectible accounts as 8% of outstanding accounts receivable. If the collections from current customers totaled to P3,312,500, how much is the company's doubtful accounts expense?
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Intermediate Accounting
Authors: Donald Kieso, Jerry Weygandt, Terry Warfield, Nicola Young,
10th Canadian Edition, Volume 1
978-1118735329, 9781118726327, 1118735323, 1118726324, 978-0176509736
