Net sales for the year are 800000 uncollectible accounts


Question -

A. Net sales for the year are $800,000, uncollectible accounts expense is estimated at 3% of net sales, and the allowance account has a $425 credit balance before adjustment. Prepare the adjusting entry at year end for the uncollectible

B. Based on an analysis of accounts in the customers' ledger, estimated uncollectible account total $6,280, and the allowance account has a $325 credit balance before adjustment. Prepare the adjusting entry at year end for the uncollectible

C. A 3,500 account receivable from Bentley Co. is written off as uncollectible. The allowance method is use.

D. A 1,235 account receivable from Apple Co., which was written off three months earlier, is collected in full. The allowance method is used.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Net sales for the year are 800000 uncollectible accounts
Reference No:- TGS02560377

Now Priced at $25 (50% Discount)

Recommended (95%)

Rated (4.7/5)