De Witte Off Method 11 Customer 1 Customer 2 Customer 3 Customer 4 Assets Jan Sales $ $ 5 5 $ 750 85% credit 125 80% cred 260 75% credit 385 100% credit 1,520 Total Balance in A/R a Record these transactions on the financials statements below. b. You've received notice that both customers 3 & 4 have filed for bankruptcy and will not be able to pay their bills. Under the Direct Write-Off Method, adjust the financial statements below to reflect. Balance Sheet Liabilities Assets Lipuity End / Stof / Beg / Net Income Less Dividends End R/ Incomend Net Income Allowance Method 21 Sales for the following months are: lan Feb Mar Assets Sales 5 $ S 720,000 5% cash 654,025 15% cash 667,850 25% cash $ 2,041,875 Total a) Prepare the financial statements based on the information shown above. by Under the allowance method, you estimated 2% of all credit sales with be uncollectible. Adjust your financials to record your estimated uncollectible A/R. Balance Sheet Liabilities Aviets Equity End / Stof / Beg/ Net me Less Dividends End R/t ome Stot Net Income G41 23) 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Ready A Y Be B X files from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View. fx B FIFO Method of Inventory Valuation Date 1/15/2021 2/19/2021 3/04/2021 3/09/2021 5/19/2021 6/1/2021 8/11/2021 9/21/2021 11/19/2021 Accounts Receivable Description Purchased Purchased Sold Sold Purchased Purchased Sold Sold Purchased Inventory a) Calculate both the ending inventory (S) and the COGS($) using the FIFO method. Ending Inventory: Cost of Goods Sold: b) Prepare the income statement below using information from question (a) 1,000 Sales Quantity 2 Items @ $5 per item 5 items @ $8 per item 2 items 2 items 3 items @ $10 per item 2 Items @ $5 per item 3 items Income Stmt D 2 items 3 items @ $10 per item Fixed Assets 1,000 Net Income G41 A A 27 4) 28 29 30 31 32 33 34 35 36 37 38 39 -40 41 42 43 44 45 46 47 48 49 50 B X fx C LIFO Method of Inventory Valuation Date 1/15/2021 2/19/2021 3/04/2021 3/09/2021 5/19/2021 6/1/2021 8/11/2021 9/21/2021 11/19/2021 12/25/2021 Description Purchased Purchased Sold Purchased Sold Purchased Purchased Sold Purchased Sold a) Calculate both the ending inventory($) and the COGS($) using the LIFO method. Ending Inventory: Cost of Goods Sold: b) Prepare the income statement below using information from question (a) Accounts Receivable Inventory Quantity 3 Items @ $5 per item 3 items @ $6 per item 2 items 3 items @ $7 per item 4 items 2 Items @ $5 per item 3 items @ $6 per item 6 items 3 items @ $8 per item 4 items Income Stmt 1,000 Sales 1,000 Net Income Fixed Assets