Emilio Co. had the following information relating to its accounts receivable: Accounts receivable, Jan. 1 Allowance for doubtful accounts, Jan. 1 Credit sales Sales discounts Collection from customers (excluding recoveries) Accounts written off Accounts previously written off but were eventually collected P2,000,000 40,000 10,000,000 70,000 8,700,000 120,000 60,000 Compute for the doubtful accounts expense for the year and the ending balance of the allowance doubtful accounts given the following independent assumptions: Page 1 of 5 1. Uncollectible accounts are estimated at 1.5% of net credit sales. 2. Uncollectible accounts are estimated at 7.5% of outstanding accounts receivable.

Emilio Co. had the following information relating to its accounts receivable: Accounts receivable, Jan. 1 Allowance for doubtful accounts, Jan. 1 Credit sales Sales discounts Collection from customers (excluding recoveries) Accounts written off Accounts previously written off but were eventually collected P2,000,000 40,000 10,000,000 70,000 8,700,000 120,000 60,000 Compute for the doubtful accounts expense for the year and the ending balance of the allowance doubtful accounts given the following independent assumptions: Page 1 of 5 1. Uncollectible accounts are estimated at 1.5% of net credit sales. 2. Uncollectible accounts are estimated at 7.5% of outstanding accounts receivable.

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter8: Receivables

Section: Chapter Questions

Problem 9E: Estimating allowance for doubtful accounts Evers Industries has a past history of uncollectible...

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Icon Company provided the following data for the current year: Sales on account Notes received to settle accounts Provision for doubtful accounts Accounts receivable determined to be w orthless Merchandise returned by customer Collections received to settle accoynts Discounts permitted to be taken by customers Collections received in settlement of notes 3,600,000 400,000 90,000 20,000 15,000 2,450,000 45,000 150,000 Prepare journal entries to record the transactions and compute the net realizable value.
3. Below are the subledger accounts receivable for Emilio Company: Anthony.. Malaya Mekhi. Omari. Kaytana. Total. $ 7,200 9,700 18,200 37,000 900 $73,000 There is no balance in the Allowance for Doubtful accounts. Instructions a. Prepare the appropriate journal entries given the following transactions: i. the controller would like you the write off the following accounts as uncollectible: 7,200 18,200 Anthony. Mekhi.. Кaytana. 900 ii. received payment from Malaya for $2,600 iii. collected $7,200 from the Anthony account iv. write off the balance in the Malaya account v. collected $18,000 from Mekhi, the remainder will not be collectible vi. the controller estimates that 2% of the total accounts receivable balance will be uncollectible b. What is the net realizable value of the accounts receivable after all adjustments? Date Account Titles and Explanation PR Debit Credit
One company has estimated that $3150 of its accounts receiable will be uncollectible. If allownace for doubtful accounts already has a credit balance of $1102, and the percentage of receivables method is used, it sadjustment to recrod for the period will require a debit to what for what amount?
View Policies Current Attempt in Progress Assume the following information for Teal Mountain Corp. Accounts receivable (beginning balance) Allowance for doubtful accounts (beginning balance) Net credit sales Collections Write-offs of accounts receivable Collections of accounts previously written off (a) Account Titles and Explanation Uncollectible accounts are expected to be 6% of the ending balance in accounts receivable. (To record sales on account) (To record collection of accounts receivable) Prepare the entries to record sales and collections during the period. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts) eTextbook and Media $143.000 List of Accounts 11,340 Save for Later Using multiple attempts will impact your score. 10% scare reduction after attempt 5 930,000 912.000 6,400 2,200…
What is the ending balance of the Allowance for doubtful receivables, given the following information: On January 1 2010, the Allowance for Doubtful Accounts of Alpha Inc. has a €10.500 credit balance and Accounts Receivable has a €150.000 debit balance. On December 31, some receivables are written down by €7.500 Answer: X
Star Company provided the following transactions affecting accountsreceivable during the year ended December 31, 2014:Sales (cash and credit) 5,900,000Cash received from credit customers, all of whomtook advantage of the discount feature of theentity’s credit terms 4/10, n/30 3,024,000Cash received from cash customers 2,100,000Accounts receivable written off as worthless 50,000Credit memorandum issued to credit customersfor sales returns and allowances 250,000Cash refunds given to cash customers for salesreturns and allowances 20,000Recoveries on accounts receivable written off asuncollectible in prior periods (not included incash amount stated above) 80,000The following balances were taken from January 1, 2014 statement of financial position:Accounts receivable 950,000Allowance for doubtful accounts 100,000The entity provided for uncollectible accounts losses by crediting allowance for doubtful accountsin the amount of P 70,000 for the current year.23. What is the balance of accounts…
The following information concerns Complex, Inc.: Accounts receivable, 12/31/X7 $56,000 Credit sales during X7 $189,000 Allowance for doubtful accounts, 12/31/X7 $1,500 credit Bad debt expense is determined using the percentage of sales method. The company believes that 4% of sales will never be collected. What would be the balance in allowance for doubtful accounts after the adjusting entry? Select one: O a. $9,060 O b. $7,560 O c. $1,500 O d. $6,060 Oe. $2,240
The following data were taken from the records of Zhubair Company for the year ended December 31, 2021: Šales on account Notes received to settle accounts Provision for doubtful accounts P7,200,000 800,000 180,000 50,000 7,800,000 6,400,000 520,000 30,000 4,900,000 Accounts determined to be worthless Purchases on account Payments to creditors Discounts allowed by creditors Merchandise returned by customer Čollections received to settle accounts Notes given to creditors to settle accounts 500,000 Merchandise returned to suppliers Payments on notes payable Discounts taken by customers Colletions received in settlement of 140,000 200,000 80,000 notes 360,000 23. What is the outstanding balance of the notes receivable account at December 31, 2021? 24. What is the net realizable value of the accounts receivable?
Kirchhoff Industries has a past history of uncollectible accounts, as shown below. Age Class PercentUncollectible Not past due 2% 1-30 days past due 6 31-60 days past due 25 61-90 days past due 35 Over 90 days past due 50 Estimate the allowance for doubtful accounts, based on the aging of receivables schedule below. Kirchhoff IndustriesAging of Receivables Schedule Customer Balance Not PastDue 1-30 DaysPast Due 31-60 DaysPast Due 61-90 DaysPast Due Over 90 DaysPast Due Subtotals 553,700 326,700 121,800 49,800 27,700 27,700 Conover Industries 18,900 18,900 Keystone Company 22,000 22,000 Moxie Creek Inc. 4,800 4,800 Rainbow Company 12,000 12,000 Swanson Company 27,700 27,700 Total receivables 639,100 354,400 133,800 54,600 49,700 46,600 Percentage uncollectible 2% 6% 25% 35% 50% Allowance for Doubtful Accounts fill in the blank 1 fill in the blank 2 fill in the blank 3…
Lowery Co. uses the direct write-off method of accounting for uncollectible accounts receivable. Lowery has a customer whose accounts receivable balance has been determined to likely be uncollectible. The entry to write off this account would be a. debit Allowance for Doubtful Accounts; credit Accounts Receivable b. debit Bad Debt Expense; credit Allowance for Doubtful Accounts C. debit Bad Debt Expense; credit Accounts Receivable Od. debit Accounts Receivable; credit Notes Receivable
Can you also send me how to do this one? 2. Refer to the data below for XYZ Corporation. Credit sales during 2018 850,000 Accounts Receivable—January 1, 2018 334,000 Collections from credit customers during 2018 725,000 Estimated uncollectible accounts based on an aging analysis 13,200 Customer accounts written off as uncollectible during 2018 12,000 Allowance for doubtful accounts 1,700(after write-off of uncollectible accounts) Answer the following questions using the above data: A. What is the balance of Accounts Receivable at December 31, 2018? B. If the aging approach is used to estimate bad debts, what should the balance in Allowance for Doubtful Accountsbe after the bad debts adjustment? C. If the aging approach is used to estimate bad debts, what amount should be recorded as bed debts expense for2018?
36. Starboy Company has the following data relating to accounts receivable for the year ended December 31, 2022: Accounts receivable, January 1, 2022 P 480,000Allowance for doubtful accounts, 1/1/22 28,600Cash sales 300,000Sales on account, terms: 2/10, 1/15, n/30 2,560,000Cash received from customers during the year 2,400,000Accounts written off during the year 17,600Cash refunds given to cash customers for sales returns and allowances 15,000Credit memoranda issued to credit customers for sales returns and allowances 25,000 The P2,400,000 collection is composed of the following: Collection from customers availing the 10-day discount period: Gross selling price P 1,440,000Discount taken (1,440,000 x 2%) ( 28,800) P 1,411,200 Collection from customers availing the 15-day discount period: Gross selling price 800,000 Discount taken (800,000 x 1%) ( 8,000) 792,000 Collection from customers paying beyond the discount period: 192,000 Collection of accounts previously written and subsequent…