Please answer questions 17 to 23
F12 7. The following accounts were taken from Robot Company's unadjusted trial balance at December 31, 2014: Accounts Receivable Allowance for doubtful Debi 1,000,000 8,000 Net Credit Sales 53,000,000 bot estimates that 3% accounts justments at December 31, 2014, the allowance for doubtiul accounts would have a cred lance of f gross accounts receivable will become uncollectible. After a $90,000 b. $82,000 c $38,000 d. $30,000 18. Ace Co. Prepared an aging of its accounts receivable at December 31, 2014 and determined that the net realizable value of the receivables was $600,000. Additional information is available as follows: 568000 2014 r the year ended December 31, 2014, Ace's uncollectible accounts expense would be a $50,000 b. $46,000 e. 532,000 d. $18,000 19. Glass Company assigned $1,600,000 of accounts receivable to Koss Finance Company as security for a loan of $1.340,000 Koss charged a 2% connsson on the ambount of the loan; the interest rate on the notes was 10%. The amount of cash Glass Company roceived from Kross at the time of the assignment was a. $1,206,000 b. $1,308,000 c. $1,313,200 d. $1,340,000 20. On February 1, 2017, Henry Company factorod recaivables with a carrying amount of 5700.000 to Agee Company. Agee Company assesses a finance charge of 3% of the receivables and retains 5% of the receivables. Relative to this newton, you are to 12 20, On Febnuary 1, 2017, Henry Company factored receivables with a carrying amount of $700,000 to Agee Company. Agee Compiny assesses a finance charge of 3% of the receivables and retains 5% of the receivables. Relative to thtratm, you are to determine the amount of loss on sale to be reported in the income statement of Henson Company for February. Assame that Henson factors the roceivables on a without rocourse basis. The loss to be reportod is A. SO B. $21,000 C. $35,000 D. $56,000 21. Mason Inc. factors $500,000 of its accounts receivables with resources for a finance charge of 3%. The finance company retains an amount equal to 5% ofthe accounts receivable for possible adjustments. Mason estimates the fair value of the recourse liability at $12,000. What would be the debit to Cash in the journal entry to record this transaetion a. $500,000 b. $472,000 c. $460,000 d. $487,000 22. Bonita Pool Company sells prefabricated pools that cost $80,000 to cussomers for $144,000. The sales price includes an installation fee, which is vallued at $20,000. The fair valae of the pool is $128,000. The installation is considered a separate performance obligation and is expected to take 3 months to complatc. The transaction price allocated to the pool and the installation is: a. $128,000 and $20,000 respectively b S124,541 and $19.459 respectively c. $144,000 and $20,000 respectively d. S110,702 and $17.298 respectively 23. On August 5, 2018, Frank Fumiture shipped 40 dining sets on consignment to ABC Furniture. The cost of each dining set was $350 each. The cost of shipping the dining sets amounted to $3,600 and was paid for by Frank Furniture. On December 30, 2018, the consignee reported the sale of 30 dining sets at $850 cach. The consignee remitied payment for the amount due after deducting a 6% co-ssion, advertising expense of $600, and installation and sctup costs of $780. The amount cash recaived by Famous furniture is A. $25,500 B. $23,370 C. $23,970 D. $22,590 24, Generally, which inventory costing method approximates most closely the current cost
