Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Show in T-Accounts and Journal. These entries related to uncollectible accounts Entries related to uncollectible accounts Chart of Accounts T Accounts Journal Final Questions Instructions

Show in T-Accounts and Journal. These entries related to uncollectible accounts
image text in transcribed
image text in transcribed
image text in transcribed
Entries related to uncollectible accounts Chart of Accounts T Accounts Journal Final Questions Instructions The following transactions were completed by Daws Company during the current fiscal year ended December 31: Jan. 29 Received 35% of the $9,000 balance owed by Kovar Co., a bankrupt business, and wrote of the remainder as uncollectible Apr. 18 Reinstated the account of Spencer Clark, which had been written off in the preceding year as uncollectible Journalized the receipt of $4.000 cash in full payment of Clark's account. Wrote off the $11,850 balance owed by Iron Horse Co., which has no assets Aug. 9 Nov. 71 Reinstated the account of Vinyl Co., which had been written off in the preceding year as uncollectible Journalized the receipt of $7.000 cash in full payment of the account Wrote off the following accounts as uncollectible (one entry) Beth Connelly Inc. $12.100 DeVine Co. 58.110 Moser Distributors. $21.950: Oceanic Optics 510 000 Dec. 31 Dec. 31 Based on an analysis of the $1,450,000 of accounts receivable, it was estimated that $60,000 will be uncollectible. Journalized the adjusting entry Required: 1. Record the January 1 credit balance of $54,200 in a T account for Allowance for Doubtful Accounts 2. A. Journalize the transactions for the December 31 adjusting entry, assume the $1,450,000 balance in accounts receivable reflects the adjustments made during the year. Refer to the chart of accounts for a listing of the accountries the company uses B. Posteach entry that affects the following selected accounts and determine the new balances Allowance for Doubtful Accounts and Bad Debt Expense 3. Determine the expected fet realize of the accounts rece a s of December 31 (ateral of the adjustments and the adjusting entry) 4. Assuming that instead of basing the provision for uncollectible accounts on an analysis of receivables the adjusting entry on December 31 had been based on an estimated expense of 35 of 1% of the sales of $13.200.000 for the year, determine the following: A Bad debt expense for the year B. Balance in the allowance account after the adjustment of December 31 C. Expected net realizable value of the accounts receivable as of December 31

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Financial Accounting Concepts

Authors: Thomas P. Edmonds

11th Edition

1260786587, 9781260786583

More Books

Students also viewed these Accounting questions

Question

What type of office space and equipment are provided?

Answered: 1 week ago

Question

3. What is my goal?

Answered: 1 week ago

Question

2. I try to be as logical as possible

Answered: 1 week ago