Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Repeat work - Accounting principals Accounting Principles I Chapter 9 Accounts Receivable Activity Complete the following activity and save this file on your hard drive.
Repeat work - Accounting principals
Accounting Principles I Chapter 9 Accounts Receivable Activity Complete the following activity and save this file on your hard drive. Then submit your file to your instructor on Canvas. Name:__________________________ PART I At the end of the year, the unadjusted trial balance of Sista Company included the following accounts: DEBIT Credit Sales Accounts Receivable Allowance for Doubtful Accounts CREDIT $2,200,000 $432,000 2,000 Using the above information, answer each of the following independent situations. A. If Sista uses the % of Sales Method (the Income Statement Approach) to estimate bad debt expense, and bad debts are expected to be 1/2% of Sales, the general journal adjusting entry to record the Bad Debt Expense for the year will be: Account Title Debit Credit B. If Sista uses the % of Accounts Receivable Method (the Balance Sheet Approach) to estimate bad debt expense, and aging the accounts receivable indicates the estimated uncollectible portion to be $8,200, the general journal adjusting entry to record the Bad Debt Expense for the year will be: Account Title Debit Credit PART II At the end of the year, the unadjusted trial balance of Sista Company included the following accounts: DEBIT Credit Sales Accounts Receivable Allowance for Doubtful Accounts CREDIT $2,200,000 $432,000 3,500 Using the above information, answer each of the following independent situations. A. If Sista uses the % of Sales Method (the Income Statement Approach) to estimate bad debt expense, and bad debts are expected to be 1/2% of Sales, the general journal adjusting entry to record the Bad Debt Expense for the year will be: Account Title Debit Credit B. If Sista uses the % of Accounts Receivable Method (the Balance Sheet Approach) to estimate bad debt expense, and aging the accounts receivable indicates the estimated uncollectible portion to be $8,200, the general journal adjusting entry to record the Bad Debt Expense for the year will be: Account Title Debit Credit For the notes listed below, compute the Maturity Date and the Maturity Value. (Remember that the maturity value is the principal of the note plus the interest.) Maturity Value ___________ ___________ January 15, 2014, 1-year, 16%, $8,000 Note Receivable Maturity Date ___________ ___________ ___________ ___________ April 1, 2014, 8-month, 14%, $6,000 Note Receivable May 19, 2014, 48-day, 12%, $5,000 Note ReceivableStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started