Required information [The following information applies to the questions displayed below.) Web Wizard, Incorporated, has provided Information technology services for several years. For the first two months of the current year, the company has used the percentage of credit sales method to estimate bad debts. At the end of the first quarter, the company switched to the aging of accounts receivable method. The company entered into the following partial list of transactions during the first quarter. a. During January, the company provided services for $30,000 on credit 6. On January 31, the company estimated bad debts using 1 percent of credit sales. c. On February 4, the company collected $15.000 of accounts receivable. d. On February 15, the company wrote off $200 account receivable. e. During February, the company provided services for $20,000 on credit . f On February 28, the company estimated bad debts using 1 percent of credit sales. 9. On March 1, the company loaned $2,800 to an employee, who signed a 6% note, due in 6 months. h. On March 15, the company collected $200 on the account written off one month earlier. 1. On March 31, the company accrued Interest earned on the note. J. On March 31, the company adjusted for uncollectible accounts, based on the following aging analysis, which includes the preceding transactions (as well as others not listed). Prior to the adjustment, Allowance for Doubtful Accounts has an unadjusted credit balance of $1,100. @ to 30 $ 120 Number of Days Unpaid 31 to 60 61 to 90 $ 70 $ 10 Over 90 $ 300 Customer Alabama Tourism Bayside Bungalows Others (not shown to save space) Xciting Xcursions Total Accounts Receivable Estimated Uncollectible (%) Total $ 209 30 15,100 380 $ 15,980 7.400 1,200 700 5.800 380 $ 6,389 2x $ 7,470 185 $ 1,210 28% $ 1,200 35% Required: 1. For Items (a) to (). analyze the transaction to determine effects on specific financial statement accounts and the overall accounting equation (Enter any decreases to Assets, Liabilities, or Stockholders Equity with a minus sign. Do not round intermediate calculations.) Assets Liabilities Stockholders' Equity b c. d. d. = f. = + 9 - 9 h. h - h h. i. j Required Information [The following information applies to the questions displayed below.] Web Wizard, Incorporated, has provided Information technology services for several years. For the first two months of the current year , the company has used the percentage of credit sales method to estimate bad debts. At the end of the first quarter, the company switched to the aging of accounts receivable method. The company entered into the following partial list of transactions during the first quarter. a. During January, the company provided services for $30,000 on credit. 6. On January 31, the company estimated bad debts using 1 percent of credit sales. c. On February 4. the company collected $15.000 of accounts receivable. d. On February 15, the company wrote off $200 account receivable. e During February, the company provided services for $20,000 on credit. f. On February 28, the company estimated bad debts using 1 percent of credit sales. 9. On March 1, the company loaned $2,800 to an employee, who signed a 6% note, due in 6 months. h On March 15, the company collected $200 on the account written off one month earlier. 1. On March 31, the company accrued Interest earned on the note. J. On March 31, the company adjusted for uncollectible accounts, based on the following aging analysis, which includes the preceding transactions as well as others not listed). Prior to the adjustment, Allowance for Doubtful Accounts has an unadjusted credit balance of $1,100. Number of Days Unpaid 31 to 60 61 to 90 $ 70 $ 10 e to 30 $ 120 Over 90 $ 300 Customer Alabama Tourism Bayside Bungalows others (not shown to save space) Xciting Xcursions Total Accounts Receivable Estimated Uncollectible (5) Total $ 280 300 15,182 380 $ 15,982 7,4ee 1,280 780 5,880 380 $ 6,30 2X $ 7,47 18% $ 1,210 2016 $ 1,eee 35% 2 Prepare the journal entries for Items (a) to (0) (if no entry is required for a transaction/event, select "No Journal Entry Required" ir the first account field. Do not round Intermediate calculations.) View transaction Mat Journal entry worksheet Record service revenue of $30,000 sold on account during January. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Record entry Clear entry View general Journal Required Information [The following information applies to the questions displayed below.) Web Wizard, Incorporated, has provided Information technology services for several years. For the first two months of the current year, the company has used the percentage of credit sales method to estimate bad debts. At the end of the first quarter, the company switched to the aging of accounts recevable method. The company entered into the following partial list of transactions during the first quarter. a. During January, the company provided services for $30,000 on credit. b. On January 31, the company estimated bad debts using 1 percent of credit sales. c. On February 4, the company collected $15,000 of accounts receivable. d. On February 15, the company wrote off $200 account receivable. e. During February, the company provided services for $20,000 on credit. f. On February 28, the company estimated bad debts using 1 percent of credit sales. 9. On March 1, the company loaned $2,800 to an employee, who signed a 6% note, due in 6 months. h. On March 15, the company collected $200 on the account written off one month earlier. 1. On March 31, the company accrued Interest earned on the note. j. On March 31, the company adjusted for uncollectible accounts, based on the following aging analysis, which includes the preceding transactions as well as others not listed). Prior to the adjustment, Allowance for Doubtful Accounts has an unadjusted credit balance of $1,100. Number of Days Unpaid 31 to 60 61 to 90 $ 70 $ 1e @ to 30 $ 120 Over 90 Customer Alabama Tourism Bayside Bungalows Others (not shown save space) Xciting Xcursions Total Accounts Receivable Estimated Uncollectible (%) Total $ 200 300 15, 10e 380 $ 15,980 $ 380 789 7,488 1,200 5,800 380 $ 6,300 2% $ 7,479 10% $ 1,210 20% $ 1,eee 35% 3. Show how Accounts Receivable, Notes Receivable, and their related accounts would be reported in the current assets section of a classified balance sheet at the end of the quarter on March 31. (Do not round Intermediate calculations.) WEB WIZARD, INCORPORATED Partial Balance Sheet At March 31 Assets Current Assets: Accounts Receivable, Net of Allowance Required information (The following information applies to the questions displayed below.] Web Wizard, Incorporated, has provided information technology services for several years. For the first two months of the current year, the company has used the percentage of credit sales method to estimate bad debts. At the end of the first quarter, the company switched to the aging of accounts receivable method. The company entered into the following partial list of transactions during the first quarter. a. During January, the company provided services for $30,000 on credit. b. On January 31, the company estimated bad debts using 1 percent of credit sales. c. On February 4, the company collected $15,000 of accounts receivable. d. On February 15, the company wrote off $200 account receivable. e. During February, the company provided services for $20,000 on credit. f. On February 28, the company estimated bad debts using 1 percent of credit sales. g. On March 1, the company loaned $2,800 to an employee, who signed a 6% note, due in 6 months. h. On March 15, the company collected $200 on the account written off one month earlier. i. On March 31, the company accrued interest earned on the note. j. On March 31, the company adjusted for uncollectible accounts, based on the following aging analysis, which includes the preceding transactions (as well as others not listed). Prior to the adjustment, Allowance for Doubtful Accounts has an unadjusted credit balance of $1,100. Number of Days Unpaid 31 to 60 61 to 90 $ 70 $ 10 0 to 30 $ 120 Over 90 Customer Alabama Tourism Bayside Bungalows Others (not shown to save space) Xciting Xcursions Total Accounts Receivable Estimated Uncollectible (%) Total $ 200 300 15,100 380 $ 15,980 $ 300 700 7,400 1,200 5,800 380 $ 6,300 2% $ 7,470 10% $ 1,210 20% $ 1,000 35% 4. Sales Revenue and Service Revenue are two income statement accounts that relate to Accounts Receivable. Name two other accounts related to Accounts Receivable and Notes Receivable that would be reported on the income statement and indicate whether each would appear before, or after, Income from Operations. Web Wizard would report Income from Operations. Income from Operations