Question
Problem 3: The following account balances come from the records of Stone Company: Beginning Balance Ending Balance Accounts Receivable $4,000 $4,500 Allowance for Doubtful Accounts
Problem 3:
The following account balances come from the records of Stone Company:
Beginning Balance Ending Balance
Accounts Receivable $4,000 $4,500
Allowance for Doubtful Accounts $150 $250
During the accounting period, Stone recorded $21,000 of service revenue on account. The company also wrote off a $180 account receivable.
Required: Answer the following questions.
- Determine the amount of cash collected from receivables.
- Determine the amount of bad debt expense recognized during the period.
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Accounting Principles
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
10th Edition
1119491630, 978-1119491637, 978-0470534793
