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Accounting

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Exercise 8-4;The ledger of Wainwright Company at the end of the current year shows Accounts Receivable $87,000, Credit Sales $905,000, and Sales Returns and Allowances $52,400. (Credit account titles are automatically indented when amount is entered. Do not indent manually.);(a) If Wainwright uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming Wainwright determines that Hiller?s $1,000 balance is uncollectible.;(b) If Allowance for Doubtful Accounts has a credit balance of $820 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 12% of accounts receivable.;(c);If Allowance for Doubtful Accounts has a debit balance of $520 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 8% of accounts receivable.;No. Account Titles and Explanation Debit Credit;(a);(b);(c)

 

Paper#78906 | Written in 18-Jul-2015

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