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really need answer asap Stephenson Corp. is a wholesaler of imported products. The company had the following opening balances at January 1, 2020: Accounts receivable
really need answer asap Stephenson Corp. is a wholesaler of imported products. The company had the following opening balances at January 1, 2020: Accounts receivable $248,000 Less: Allowance for doubtful accounts $-29,760 Net realizable value $218,240 During 2020, the company had the following summary transactions: a. Sales on account, $2,693,000; cost of goods sold, $1,212,000 b. Products returned by customers, $54,000; cost of inventory returned, $24,000 c. Cash collections on accounts receivable, $2,478,000 d. Write-offs of accounts receivable determined to be uncollectable, $37,200 e. A customer that was previously written off sent in a cheque for $3,300 f. You estimate that $45,000 of your accounts receivable will be Juncollected in the upcoming year. Record all of the above transactions and then answer the questions that follow. The entry to record transaction (a) would include which of the following? Select ALL that apply. (4 marks) a) Decrease Bad Debt Expense b) Increase Sales c) Decrease Allowance for Doubtful Accounts d) Decrease Sales e) No entry required f) Increase Cost of Goods Sold g) Decrease Inventory h) Increase Bad Debt Expense i) Decrease Cost of Goods Sold i Increase Allowance for Doubtful Accounts Oj) Increase Allowance for Doubtful Accounts k) Increase Accounts Receivable 1) Decrease Accounts Receivable m) Increase Inventory On) Increase Cash o) Decrease Cash The entry to record transaction (b) would include which of the following? Select ALL that apply. (4 marks) a) Decrease Inventory b) Increase Sales c) Decrease Sales Returns and Allowances d) Increase Sales Returns and Allowances e) Decrease Sales f) Decrease Accounts Receivable g) Decrease Cost of Goods Sold j) Increase Bad Debt Expense k) Increase Cash ) 1) No entry required m) Increase Accounts Receivable On) Decrease Cash ) Oo) Increase Inventory p) Decrease Allowance for Doubtful Accounts q) Decrease Bad Debt Expense The entry to record transaction (c) would include which of the following? Select ALL that apply. a) Decrease Bad Debt Expense b) Increase Allowance for Doubtful Accounts c) Decrease Cash d) Decrease Accounts Receivable e) Increase Accounts Receivable On Decrease Allowance for Doubtful Accounts g) No entry required 3 e) Increase Accounts Receivable f) Decrease Allowance for Doubtful Accounts g) No entry required a Oh) Increase Cash 12 1) Increase Bad Debt Expense D) Increase Cost of Goods Sold k) Decrease Cost of Goods Sold 16 The entry to record transaction (d) would include which of the following? Select ALL that apply. a) Decrease Allowance for Doubtful Accounts b) Increase Cost of Goods Sold c) Decrease Accounts Receivable d) Increase Bad Debt Expense e) Decrease Cost of Goods Sold f) Increase Cash g) No entry required h) Decrease Bad Debt Expense e) Decrease Cost of Goods Sold f) Increase Cash g) No entry required h) Decrease Bad Debt Expense i) Increase Allowance for Doubtful Accounts Oj) Decrease Cash k) Increase Accounts Receivable The entry to record transaction (e) would include which of the following? Select ALL that apply. (4 marks) a) Decrease Allowance for Doubtful Accounts b) Increase Accounts Receivable c) Decrease Bad Debt Expense d) Decrease Cost of Goods Sold e) Increase Cost of Goods Sold f) Decrease Cash g) Decrease Accounts Receivable h) Increase Cash 1) Increase Bad Debt Expense i No entry required The entry to record transaction (f) would include which of the following? Select ALL that apply. a) Increase Allowance for Doubtful Accounts b) Increase Accounts Receivable c) Increase Bad Debt Expense d) Decrease Allowance for Doubtful Accounts e) Decrease Accounts Receivable f) No entry required g) Decrease Bad Debt Expense Oh) Increase Cash Oi) Increase Cost of Goods Sold j) Decrease Cost of Goods Sold k) Decrease Cash
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