(This is all part of one question.)

1a). A note receivable due in 6 months is listed on the balance sheet under the caption:

	investments
	fixed assets

	long-term liabilities
	current assets

1b). After the accounts are adjusted and closed at the end of the fiscal year, Accounts Receivable has a balance of $450,000 and Allowance for Doubtful Accounts has a balance of $25,000. What is the net expected realizable value of the accounts receivable?

	$450,000
	$25,000

	$455,000
	$425,000

1c). An estimate based on an analysis of receivables shows that $780 of accounts receivables are uncollectible. The Allowance for Doubtful Accounts has a debit balance of $110. After preparing the adjusting entry at the end of the year, the balance in the Uncollectible Accounts Expense is:

$110

$780

$890

$670

1d). Using the estimate based on sales method of accounting for uncollectible accounts, the entry to reinstate a specific receivable previously written off would include a:

both a debit to Accounts Receivable and a credit to Allowance for Doubtful Accounts

credit to Accounts Receivable

credit to Allowance for Doubtful Accounts

debit to Accounts Receivable

1e). On the balance sheet, the amount shown for the Allowance for Doubtful Accounts is equal to the:

Uncollectible accounts expense for the year

total estimated uncollectible accounts as of the end of the year

total of the accounts receivables written-off during the year

sum of all accounts that are past due

1f). A 90-day, 12% note for $10,000, dated May 1, is received from a customer on account. The maturity value of the note is:

$10,000

$9,550

$10,300

$450

1g). A 60-day, 10% note for $8,000, dated April 15, is received from a customer on account. The face value of the note is:

$8,600

$8,000

$8,800

$7,200

1h). A $6,000, 30-day, 12% note recorded on November 21 is not paid by the maker at maturity. The journal entry to recognize this event is:

debit Cash, $6,060; credit Notes Receivable, $6,060

debit Notes Receivable, $6,060; credit Accounts Receivable, $6,060

debit Accounts Receivable, $6,060; credit Notes Receivable, $6,000; Credit Interest Revenue, $60

debit Accounts Receivable, $6,060; credit Notes Receivable, $6,000; Credit Interest Receivable, $60

1i). Allowance for Doubtful Accounts has a debit balance of $500 at the end of the year (before adjustment), and uncollectible accounts expense is estimated at 3% of net sales. If net sales are $600,000, the amount of the adjusting entry to record the provision for doubtful accounts is:

$17,500

$ none of the above

$18,500

$18,000

1j). On September 1, Blazer Company receives a 10% interest bearing note from Ram Company to settle a $12,000 account receivable. The note is due in six months. At December 31, Blazer should record interest revenue of:

$600

$400

$0

$100