Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Zuo Software categorizes its accounts receivable into four age groups for purposes of estimating its allowance for uncollectible accounts. 1. Accounts not yet due =$450,000;

image text in transcribed
image text in transcribed
image text in transcribed
Zuo Software categorizes its accounts receivable into four age groups for purposes of estimating its allowance for uncollectible accounts. 1. Accounts not yet due =$450,000; estimated uncollectible =5%. 2. Accounts 130 days past due =$56,300; estimated uncollectible =9%. 3. Accounts 3190 days past due =$45,000; estimated uncollectible =13% 4. Accounts more than 90 days past due =$33,800; estimated uncollectible =17%. At 12/31/2024, before recording any adjustments, Zuo has a credit balance of $23,400 in its allowance for uncollectible accounts. Required: 1. Estimate the appropriate 12/31/2024 balance for Zuo's allowance for uncollectible accounts. 2. What journal entry should Zuo record to adjust its allowance for uncollectible accounts? 3. Calculate Zuo's 12/31/2024 net accounts receivable balance. Complete this question by entering your answers in the tabs below. Estimate the appropriate 12/31/2024 balance for Zuo's allowance for uncollectible accounts. What journal entry should Zuo record to adjust its allowance for uncollectible accounts? Note: If no entry is required for a transaction/event, select "No joumal entry required" in the first account field. Journal entry worksheet Record the adjustment to allowance for uncollectible accounts. Note: Enter debits before credits: Zuo Software categorizes its accounts receivable into four age groups for purposes of estimating its allowance for uncollectlble accounts. 1. Accounts not yet due =$450,000; estimated uncollectible =5%. 2. Accounts 130 days past due =$56,300; estimated uncollectible =9%. 3. Accounts 31-90 days past due =$45,000; estimated uncollectible =13% 4. Accounts more than 90 days past due =$33,800; estimated uncollectible =17%. At 12/31/2024, before recording any adjustments, Zuo has a credit balance of $23,400 in its allowance for uncollectible accounts. Required: 1. Estimate the appropriate 12/31/2024 balance for Zuo's allowance for uncollectible accounts. 2. What joumal entry should Zuo record to adjust its allowance for uncollectible accounts? 3. Calculate Zuo's 12/31/2024 net accounts receivable balance. Complete this question by entering your answers in the tabs below. Calculate Zuo's 12/31/2024 net accounts receivable balance

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_2

Step: 3

blur-text-image_3

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

Knowledge Assets And Knowledge Audits Working Methods For Knowledge Management

Authors: Pawan Handa, Jean Pagani, Denise Bedford

1st Edition

1789737745, 978-1789737745

More Books

Students also viewed these Accounting questions