Please help me understand Problem 2: Requirement 2
1. Open the following Selected accounts recording the opening balances as of January 1 of the current year
ecurity updates, fixes, and improvements, choose Check for Updates Problem 2 (40 points) Read the following instructions and enter and submit all information on the Group Project Excel spreadsheet Problem 2 parts 2 -6 tab and Problem 2 part 7-8 tab. 1. 2. Open the following selected accounts recording the opening balances as of January 1 of the current year. In the (Group Project Excel Spreadsheet Problem 2 Parts 2 -6 tab). 114.1Allowance for doubtful accounts12,200 Credit 313 718 Retained Earnings Bad debts expense 3. Record the following transactions in general journal form in the Group Project Excel Spreadsheet Problem 2 Parts 2 6 tab Post these transactions to the three selected accounts above and to Accounts receivable in the Group Project Excel Spreadsheet Problem 2 parts 2 6 tab. 4. 5. Enter the ending balances in the three accounts above and enter the ending balance in the Accounts Receivable account. Enter those balances in the Group Project Excel Spreadsheet Problem 2 parts 2 -6 tab. Apr 1, 09 | Accepted a $20,000, one-year, 8% note dated April 1 from Bruce Hanson for the sale of inventory: Cost of Goods Sold was $16,500 June 27Wrote off the $2,375 balance owed by Miller Corp., which has no assets. Oct. 5 Received 25% of the $12,000 balance owed by FM. Knox Co., a bankrupt. and wrote off the remainder as uncollectible. Based on an analysis of the $257,724 of accounts receivable, it was estimated that $14,500 will be uncollectible. Record the adjusting entry using the Aging method Dec. 31 Dec. 31 Record the adjusting entry for interest accrued on the Bruce Hanson note Received 25% of the $12,000 balance owed by FM. Knox Co., a bankrupt. Oct. 5 Dec.31 Based on an analysis of the $257,724 of accounts receivable,it was estimated Dec. 31 Record the adjusting entry for interest accrued on the Bruce Hanson note and wrote off the remainder as uncollectible. that $14,500 will be uncollectible. Record the adjusting entry using the Aging method Dec. 31 Record the entries to close the appropriate accounts into Retained Earnings. April 1, 10 Collected the maturity value on the Hanson note. 6. Determine the net accounts receivable (the amount Summer expects to collect as of December 31 and enter in the Group Project Spreadsheet Problem 2 Parts 2-6 tab). 7. Compute the accounts receivable turnover and the day's sales in receivables for the year Assume that there were $1,800,000 sales account. (You will need to refer to the Group Project Excel Spreadsheet Problem 2 part 7-8 tab). 8. How is Summer Company doing with collection of their accounts receivable compared to the industry? Assume the industry average for the accounts receivable turnover is 11 and the industry average for the day's sales in receivables is 37 days? (Enter in the Group Project Excel Spreadsheet Problem 2 part 7-8 tab). ot ofonswors per groun for all four nroblems Make sure to include each group members 2: Reqiremnt 3 Journal Entry Accounts Date Debit Credit pr. 1 09 Journal Entry Date Accounts DebitCredit Jun. 27 09 Journal Entry Date Oct. 5 09 Accounts Journal Entry Date Accounts DebitCredit Oct. 5 09 Journal En Date Accounts Debit Credit + Problem 2 Parts 2-6 Problem 2 Parts 7-8-Problem 3 Part 1 Problem 3 Par Journal Entry Date Accounts Debit Credit Dec. 31 09 Journal Entry Date Accounts Debit Credit Dec. 31 09 Journal Entry Date Accounts DebitCredit Dec. 31 09 Journal Entry Date Accounts Debit Credit Dec. 31 09 Journal Entry Date Accounts Debit Credit April 01 10
