You are provided with the following information taken fromTamarisk, Inc.'s March 31, 2022, balance sheet.

Cash$11,780Accounts receivable20,690Inventory36,600Property, plant, and equipment, net of depreciation121,000Accounts payable23,210Common stock151,600Retained earnings12,370

Additional information concerningTamarisk, Inc.is as follows.

1.Gross profit is26% of sales.2.Actual and budgeted sales data:March (actual)$47,200April (budgeted)71,300

3.Sales are both cash and credit. Cash collections expected in April are:March$18,880(40% of $47,200)April42,780

(60% of $71,300)$61,660

4.Half of a month's purchases are paid for in the month of purchase and half in the following month. Cash disbursements expected in April are:Purchases March

$23,210Purchases April28,660

$51,870

5.Cash operating costs are anticipated to be $11,940for the month of April.6.Equipment costing $2,790will be purchased for cash in April.7.The company wishes to maintain a minimum cash balance of $12,610. An open line of credit is available at the bank. All borrowing is done at the beginning of the month, and all repayments are made at the end of the month. The interest rate is14% per year, and interest expense is accrued at the end of the month and paid in the following month.

Prepare a cash budget for the month of April. Determine how much cashTamarisk, Inc.must borrow, or can repay, in April.

TAMARISK, INC.

Cash Budget

choose the accounting period

April 30, 2022

For the Year Ended April 30, 2022

For the Month Ending April 30, 2022

Assume the following information forTeal MountainCorp.

Accounts receivable

(beginning balance)$143,000Allowance for doubtful accounts (beginning balance)11,340Net credit sales930,000Collections912,000Write-offs of accounts receivable6,400Collections of accounts previously written off2,200

Uncollectible accounts are expected to be6% of the ending balance in accounts receivable.

Part 1

Prepare the entries to record sales and collections during the period.(Credit account titles are automatically indented when the amount is entered.Do not indent manually.)

Account Titles and Explanation

Debit

Credit

enter an account title to record sales on account

enter a debit amount

enter a credit amount

enter an account title to record sales on account

enter a debit amount

enter a credit amount

(To record sales on account)enter an account title to record collection of accounts receivable

enter a debit amount

enter a credit amount

enter an account title to record collection of accounts receivable

enter a debit amount

enter a credit amount

(To record collection of accounts receivable)

Prepare the entry to record the write-off of uncollectible accounts during the period.(Credit account titles are automatically indented when the amount is entered.Do not indent manually.)

Account Titles and Explanation

Debit

Credit

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

Prepare the entries to record the recovery of the uncollectible account during the period.

(Credit account titles are automatically indented when the amount is entered.Do not indent manually.)

Account Titles and Explanation

Debit

Credit

enter an account title to reverse write-off of accounts receivable

enter a debit amount

enter a credit amount

enter an account title to reverse write-off of accounts receivable

enter a debit amount

enter a credit amount

(To reverse write-off of accounts receivable)

enter an account title to record collection of accounts receivable

enter a debit amount

enter a credit amount

enter an account title to record collection of accounts receivable

enter a debit amount

enter a credit amount

(To record collection of accounts receivable)

Determine the ending balance in Accounts Receivable and the unadjusted balance in Allowance for Doubtful Accounts.

Ending balance in Accounts Receivable$

enter a dollar amount

Unadjusted balance in Allowance for Doubtful Accounts$

enter a dollar amount

Prepare the entry to record bad debt expense for the period.

(Credit account titles are automatically indented when the amount is entered.Do not indent manually.)

Account Titles and Explanation

Debit

Credit

enter an account title

Determine the ending (adjusted) balance in Allowance for Doubtful Accounts.

Ending (adjusted) balance in Allowance for Doubtful Accounts$

enter the Ending (adjusted) balance in Allowance for Doubtful Accounts in dollars