Question
Problem 5-3A (Algo) Record transactions related to accounts receivable (LO5-3, 5-4, 5-5) The following events occur for The Turner Corporation during 2024 and 2025, its
Problem 5-3A (Algo) Record transactions related to accounts receivable (LO5-3, 5-4, 5-5)
The following events occur for The Turner Corporation during 2024 and 2025, its first two years of operations.
| June 12, 2024 | Provide services to customers on account for $40,400. |
|---|---|
| September 17, 2024 | Receive $24,500 from customers on account. |
| December 31, 2024 | Estimate that 45% of accounts receivable at the end of the year will not be received. |
| March 4, 2025 | Provide services to customers on account for $55,400. |
| May 20, 2025 | Receive $10,000 from customers for services provided in 2024. |
| July 2, 2025 | Write off the remaining amounts owed from services provided in 2024. |
| October 19, 2025 | Receive $44,500 from customers for services provided in 2025. |
| December 31, 2025 | Estimate that 45% of accounts receivable at the end of the year will not be received. |
Required: 1. Record transactions for each date. 2. Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts. 3. Calculate net accounts receivable reported in the balance sheet at the end of 2024 and 2025.
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Record transactions for each date. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)
| No | Date | General Journal | Debit | Credit |
|---|---|---|---|---|
| 1 | June 12, 2024 | Accounts Receivable | 40,400 | |
| Service Revenue | 40,400 | |||
| 2 | September 17, 2024 | Cash | 24,500 | |
| Accounts Receivable | 24,500 | |||
| 3 | December 31, 2024 | Bad Debt Expense | 7,155 | |
| Allowance for Uncollectible Accounts | 7,155 | |||
| 4 | March 04, 2025 | Accounts Receivable | 55,400 | |
| Service Revenue | 55,400 | |||
| 5 | May 20, 2025 | Cash | 10,000 | |
| Accounts Receivable | 10,000 | |||
| 6 | July 02, 2025 | Allowance for Uncollectible Accounts | 5,900 | |
| Accounts Receivable | 5,900 | |||
| 7 | October 19, 2025 | Cash | 44,500 | |
| Accounts Receivable | 44,500 | |||
| 8 | December 31, 2025 | Bad Debt Expense | ||
| Allowance for Uncollectible Accounts |
Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts.
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Calculate net accounts receivable reported in the balance sheet at the end of 2024 and 2025.
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1st Edition
1734182512, 978-1734182514
