V3. $121,000 PR 9-2A Aging of receivables; estimating allowance for doubtful accounts OB). 4 Trophy Fish Company supplies flies and fishing gear to sporting goods stores and outfit- ters throughout the western United States. The accounts receivable clerk for Trophy Fish prepared the following partially completed aging of receivables schedule as of the end of business on December 31, 2015: D E F GH 1 Not Days Past Due 2 Past 3 Customer Balance Due 1-30 31-60 61-90 91-120 Over 120 4 AAA Outfitters 20,000 20,000 5 Brown Trout Fly Shop 7,500 7,500 B 30 Zigs Fish Adventures 31 Subtotals 4,000 4,000 1,300,000 750,000 290,000 120,000 40,000 20,000 80,000 (Continued napter 9 Receivables The following accounts were unintentionally omitted from the aging schedule: tred from the aging Customer Adams Sports & Flies Blue Dun Flies Cicada Fish Co. Deschutes Sports Green River Sports Smith River Co. Western Trout Company Wolfe Sports Due Date May 22, 2015 Oct 10, 2015 Sept. 29, 2015 Oct. 20, 2015 Nov. 7, 2015 Nov. 28, 2015 Dec.7.2015 Jan. 20, 2016 Balance $5,000 4,900 8,400 7,000 3,500 2,400 6,800 4,400 Trophy Fish has a past history of uncollectible accounts by age category, as follows: Age Class Not past due 1-30 days past due 31-60 days past due 61-90 days past due 91-120 days past due Over 120 days past due Percent Uncollectible 196 2 10 30 40 80 Instructions 1. Determine the number of days past due for each of the preceding accounts. 2. Complete the aging of receivables schedule by adding the omitted accounts to the bottom of the schedule and updating the totals. 3. Estimate the allowance for doubtful accounts, based on the aging of receivables schedule. 4. Assume that the allowance for doubtful accounts for Trophy Fish Company has a debit balance of $3,600 before adjustment on December 31, 2015. Journalize the adjusting entry for uncollectible accounts. 5. Assume that the adjusting entry in (4) was inadvertently omitted, how would the omis- sion affect the balance sheet and income statement? Customer Due Date Number of Days Pant Due Adams Sports and Fles Bu Dun Fies Cicada Fish Co Deschtes Sports Green River Sports Smith Reco Western Trout Company Wolf Sports May 22, 2015 Oct 10, 2015 Sep 29, 2015 Oct 20, 2015 Nov.7.2015 Nov. 28, 2015 Dec 7, 2015 Jan 20, 2016 2.3 Aging of Recavables Schedule December 31, 2015 De Pal Due Net Due Ove 130 Balance Customer 1.30 01-30 01.10 33 34 20.000 20.00 MA Outra Brown Trout how 5 7.500 4.000 290.000 5 s 40.000 19.000 120.000 2000 750.000 40 ==== Zig Fish Adventures Gurmil| A Sports Bus Flies Clonda Fish Co Desch Sport Greener porte Svar Co Viestum Trock Company Wolle foorts To Por unco 4 000 $1,300.00 1,000 4.000 8.400 7.000 3.10 2.400 6350 4400 11,342.400 X les B c D E G H K M N o P R 4.000 $ 1.300.000 5,000 $ 750.000 4,000 290.000 $ $ 120.000 $ 40.000 $ 20,000 5 80,000 4900 Zig Fish Adventures Subtotals Adarns Sports and Flos Bu Dun Flos Cicada Fish Co Deschutes Sports Green River Sports Smith River Co Western Trout Company Wolfe Sports Totals Porcent uncollectible Estimate of uncollectible accounts 8.400 7.000 3.500 2.400 6,800 4.400 51,342.400 5. On the balance sheet, the omission would cause assets to be by owner's capital to be by On the income statement the omission would cause expenses to be by net income to be by
