Walton Company began the year with Accounts Receivable of $12,625 and a normal balance in the Allowance for Uncollectible Accounts of $970.

Walton Case Chapter 5 Walton Company began the year with Accounts Receivable of $12,625 and a normal balance in the Allowance for Uncollectible Accounts of $970. Cash sales during 2017 totaled $40,000 and credit sales totaled $183,000. There were sales returns and allowances during the year of $1,050. Collections from credit customers totaled $127,600. Charge-offs during the year totaled $580. On September 1, Anderson Company defaulted on a $1,000, 5%, 6-month note that was due on that day. An account receivable from John Brown for $1,700 was converted to a 4%, 60-day note on November 12. At year-end, Walton estimated that of 1% of net credit sales would be uncollectible. The December 31 bank statement included a deduction for an NSF check for $155 that had been received from a customer, S. Stephens. Show your work as you answer these questions: 1. What amount did Anderson Company owe Walton on September 1? 2. What is the journal entry to record the NSF check? 3. What is net realizable value at December 31? (HINT: Draw 2 T-accounts!) 4. What is the adjusting entry related to uncollectible account expense? 5. If adjusting entries are recorded annually, what is the year-end accrual entry related to the Brown note? (Round to the closest dollar) 6. The maturity date of the Brown note is ___________. Write the entry required on that date