Description of this paper

https://www.coursehero.com/tutors-problems/Accounting/8644218-Repeat-work-Accounting-principals/

Description

solution


Question

Accounting Principles I;Chapter 9;Accounts Receivable Activity;Complete the following activity and save this file on your hard drive. Then submit your file to;your instructor on Canvas.;Name;PART I;At the end of the year, the unadjusted trial balance of Sista Company included the following;accounts;DEBIT;Credit Sales;Accounts Receivable;Allowance for Doubtful Accounts;CREDIT;$2,200,000;$432,000;2,000;Using the above information, answer each of the following independent situations.;A. If Sista uses the % of Sales Method (the Income Statement Approach) to estimate bad debt;expense, and bad debts are expected to be 1/2% of Sales, the general journal adjusting entry to;record the Bad Debt Expense for the year will be;Account Title;Debit;Credit;B. If Sista uses the % of Accounts Receivable Method (the Balance Sheet Approach) to estimate;bad debt expense, and aging the accounts receivable indicates the estimated uncollectible portion to;be $8,200, the general journal adjusting entry to record the Bad Debt Expense for the year will be;Account Title;Debit;Credit;PART II;At the end of the year, the unadjusted trial balance of Sista Company included the following;accounts;DEBIT;Credit Sales;Accounts Receivable;Allowance for Doubtful Accounts;CREDIT;$2,200,000;$432,000;3,500;Using the above information, answer each of the following independent situations.;A. If Sista uses the % of Sales Method (the Income Statement Approach) to estimate bad debt;expense, and bad debts are expected to be 1/2% of Sales, the general journal adjusting entry to;record the Bad Debt Expense for the year will be;Account Title;Debit;Credit;B. If Sista uses the % of Accounts Receivable Method (the Balance Sheet Approach) to estimate;bad debt expense, and aging the accounts receivable indicates the estimated uncollectible portion to;be $8,200, the general journal adjusting entry to record the Bad Debt Expense for the year will be;Account Title;Debit;Credit;For the notes listed below, compute the Maturity Date and the Maturity Value. (Remember that the maturity;value is the principal of the note plus the interest.);Maturity Value;January 15, 2014, 1-year, 16%, $8,000 Note Receivable;Maturity Date;April 1, 2014, 8-month, 14%, $6,000 Note Receivable;May 19, 2014, 48-day, 12%, $5,000 Note Receivable;View Full Attachment

 

Paper#19258 | Written in 18-Jul-2015

Price : $37
SiteLock