Description of this paper uses the allowance method to estimate...



Question uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year end. Number of Days Outstanding Total 0-30 31-60 61-90 91-120 Over 120 Accounts receivable $375,000 $222,000 $90,000 $38,000 $10,000 $15,000 % uncollectible 1% 4% 5% 6% 10% Calculate the total estimated bad debts based on the above information. Number of Days Outstanding Total 0-30 31-60 61-90 91-120 Over 120 Estimated bad debts $ $ $ $ $ $,Here is the remaining question for this particular one that you did not solve. Thanks. Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined in the table above. Assume the unadjusted balance in the Allowance for Doubtful Accounts account is a $4,000 debit. Account/Description Debit Credit Of the above accounts, $5,000 is determined to be specifically uncollectible. Prepare the journal entry to write off the uncollectible account. Account/Description Debit Credit The company collects $5,000 subsequently on a specific account that had previously been determined to be uncollectible in the question above. Prepare the journal entry(ies) necessary to restore the account and record the cash collection. Account/Description Debit Credit (To restore the account.) (TO record the cash collection.)


Paper#9762 | Written in 18-Jul-2015

Price : $25