How much uncollectible accounts expense should be presented on the statement of comprehensive income for the year ended December 31, 2018? a. 160,600 b. 194,000 c. 240,600 d. 254,600 e. None of the choices
Q: STATEMENTS OF RECEIPTS AND EXPENSES For the fiscal years ended April 30, 2020 2019 OPERATING…
A: Horizontal analysis - Horizontal Analysis is part of the analysis in which individuals get the idea…
Q: If the percentage of completion method had been used, the The cumulative effect of the accounting…
A: The increase in income due to a change in the method of depreciation shall be adjusted towards…
Q: Please provide the answers to the amounts not given.For the following items, provide the missing…
A: For computing the net icnome/ Loss for the period, reverse statement needs to be prepared. Ending…
Q: income b. unearned income c. accrued income d. accrued expense
A:
Q: The unadjusted net income for the year 2019 is: a. P1,540,200 b. P1,458,200 c. P1,482,200 d.…
A: Net income Net income is the difference between total revenues minus related expenses. Net income…
Q: 1. Determine the profit or loss for the year ended 30 September 2019 (Use comparison method) 2.…
A: Under comparison method, all assets, liabilities of two different periods are compared in order to…
Q: If the income statement error is discovered in a subsequent accounting period, what action is to be…
A: Solution Nominal account is a general ledger account pertaining to all income , expenses , losses…
Q: Which type of adjustment occurs when cash is either collected or paid, but the related income or…
A: Deferral adjustments are those adjustments where advance cash has been received or paid but income…
Q: In year 2022, collection of interest income is credited to Interest Expense. What is the effect of…
A: >When recording a financial transaction relating to revenues and expenses, following treatments…
Q: . If Avonette fails to make an adjusting entry for the accrued interest on December 31,2018,a. net…
A: Adjusting Entries are the entries made at the end of a year for adjusting certain transactions.
Q: By how much would the December 31, 2021 retained earnings be misstated if no adjustments were made…
A: Adjustment Entries It is important for the entity to generate viable financial reporting system…
Q: nder IFRS 15, what is the net income/(loss) to be reported by the company for the years ended…
A: Percentage of completion Cost Incurred in 2017 & 2018 (excluding inefficiencies) = 100 million…
Q: Required: Prepare an accrual basis income statement for 2021. (Ignore income taxes.) STANLEY AND…
A: An income statement refers to the one from which net income/loss is determined by taking all the…
Q: 3. Identify and analyze the effect of the payment of interest and the amortization of premium on…
A: Accounting Equation:- Effect of payment of Interest :- 1. Interest A/c - Debited - Expense…
Q: Required: For each of the above independent and unrelated errors, determ the effect on the 2020…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: equired: 1.By how much would the December 31, 2021 retained earnings be misstated if no adjustments…
A: Journal entry is the practice of recording commercial transactions for the first time in the books…
Q: An expense incurred/used up in 2020 is not paid until 2021. Using the accrual basis of accounting,…
A: The accrual concept states that the revenues and expenses should've reported when accrued,…
Q: Its omission at year end will result to understated net income Group of answer choices A. Accrued…
A: Lets understand the meaning of all the options. Accrued expense means a expense which is incurred…
Q: Express the Balance Sheets/Financial Position and Income Statement in common-size percents, using…
A: A full-size income statement is an income statement where each line item is expressed as a…
Q: Suppose that Laramie Company’s adjusted trial balance ignored the following information. For each…
A: When dividends are declared by a company, the journal entry would include debit to Retained earnings…
Q: In year 2022, payment of rent for the month is debited to Rent Income. What is the effect of the…
A: Correct entry: Debit: Rent expense Credit: Cash Entry recorded: Debit: Rent income Credit: Cash…
Q: Required: 1. Prepare the journal entry at the beginning of 2021 to record the change in accounting…
A: Solution:- 1)Preparation of the journal entry at the beginning of 2021 to record the change in…
Q: Two or more items are omitted in each of the following tabulations of income statement data. Fill in…
A: Cost of goods sold is defined the as the value or carrying value of the products sold during the…
Q: What is the adjusted balance of Accounts Receivable as of December 31, 2016? A. 4,300,000 B.…
A: Accounts Receivable Accounts receivable is treated as one of the important segment in the balance…
Q: Calculate the missing value (in $) according to the accounting equation. Assets Liabilities Owner's…
A: The accounting equation refers to the equation of the balance sheet. It is based on the method of…
Q: What amount should be reported as doubtful accounts expense for the current year?
A: Step 1 Under aging method of estimating allowance for doubtful accounts, a percentage of accounts…
Q: REQU 1. Determine the correct amount of the following as of Dec. 31, 2019: a. Trade receivables,…
A: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you. To get…
Q: Notes receivable due in 390 days appear on the a.balance sheet in the current liabilities section…
A: Introduction: Balance sheet: All Assets and liabilities are shown in Balance sheet. It tells the net…
Q: gnoring income tax, the accounting change should preferably be reported by the company in its year…
A: As the question specified ignoring income taxes, the cumulative effect on retained earnings will be…
Q: Non-recognition of deferral at the end of the accounting period will a.understate income and…
A: Deferrals means the payment made or received for the expenses or the income which has not been yet…
Q: (b) Prepare the journal entry to record 2021 income tax expense, income taxes payable, and deferred…
A: Solution:- Given, Financial Income = $1,634,000 in 2020 and $1,359,000 in 2021. Purchase Equipment =…
Q: The collection of an account that had been previously written off under the allowance method of…
A: Uncollectible accounts are those accounts receivables to whom it is estimated that amount will not…
Q: Q49 The conversion for balance sheet in the beginning of the year or opening year balance sheet…
A: Conversion of balance sheet in the beginning of the year or opening year balance sheet items under…
Q: tate the effect of the following errors if OVERSTATED, UNDERSTATED, or NO EFFECT. NO. ERRORS EFFECT…
A: Solution Concept Retained earnings is understated if net income is understated Retained earnings is…
Q: In year 2022, collection of interest income is credited to Interest Expense. What is the effect of…
A: Correct entry: Debit: Cash Credit: Interest income Entry recorded: Debit: Cash Credit: Interest…
Q: 9. Aside from accruals, which of the following can be reversed? A. Deferrals initially recorded…
A: All the transactions of the company that are happened during the year will be recorded first in the…
Q: adjusted balance of accounts payable on December 31, 2021?
A: Answer: Unadjusted Balance of Accounts payable as on Dec 31,2021…
Q: ABC Co. change from cash basis of accounting to the accrual basis of accounting during 2021. The…
A: Prior Period Item: The term 'prior period items,' as described in this Standard, solely refers to…
Q: In year 2022, collection of interest income is credited to Interest Expense. What is the effect of…
A: While preparing books of accounts, there can be two kinds of mistakes: Error of omission and error…
Q: Alternative Accounting Treatments a. Estimate the amount of liability and record. b. Do not record…
A: Contingent liabilities are those liabilities which might be incurred through entity grounded on the…
Q: What is the effect of omission of prepaid expense in retained earnings at the end of year 2? Group…
A: Prepaid expenses are those expenses which are related with future period of time but paid in advance…
Q: In year 2022, collection of interest income is credited to Interest Expense. What is the effect of…
A: Solution Concept When the income is not recorded the effect is understatement of the revenue and it…
Q: (Pre faration of Opein ting Activit, section-Dipect imethod) Krauss company's income statement for…
A: Direct method of cash flows statement indicates the cash inflows and cash outflows related…
Q: What is the DTA the company will report on its 2021 balance sheet that corresponds to the NOL Carry…
A: Deferred tax asset: Deferred tax asset is an item that appeared on the balance sheet of the company…
Q: 5. The following items affect the retained earnings account, except Group of answer choices a. net…
A: Retained earnings is the part of stockholders' equity. It is the part of income set aside to be…
Q: A revenue was earned in 2019 but payment is not received until 2020. Using the accrual basis of…
A: Introduction: Accrual basis of Accounting: Recording of a transactions irrespective of cash paid or…
Q: Required: (a) Prepare journal entries to record the impairment loss of receivable in 2021 under…
A: Accounts receivables are those customer accounts to whom credit sales has been made and amount has…
Q: 1. Determine the correct amount of the following as of Dec. 31, 2019: a. Trade receivables, current…
A: Note: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you.…
How much uncollectible accounts expense should be presented on the statement of comprehensive income for the year ended December 31, 2018?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Jars Plus recorded $861,430 in credit sales for the year and $488,000 in accounts receivable. The uncollectible percentage is 2.3% for the income statement method, and 3.6% for the balance sheet method. A. Record the year-end adjusting entry for 2018 bad debt using the income statement method. B. Record the year-end adjusting entry for 2018 bad debt using the balance sheet method. C. Assume there was a previous debit balance in Allowance for Doubtful Accounts of $10,220, record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method. D. Assume there was a previous credit balance in Allowance for Doubtful Accounts of $5,470, record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method.Bristax Corporation recorded $1,385,660 in credit sales for the year, and $732,410 in accounts receivable. The uncollectible percentage is 3.1% for the income statement method and 4.5% for the balance sheet method. A. Record the year-end adjusting entry for 2018 bad debt using the income statement method. B. Record the year-end adjusting entry for 2018 bad debt using the balance sheet method. C. Assume there was a previous debit balance in Allowance for Doubtful Accounts of $20,550; record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method. D. Assume there was a previous credit balance in Allowance for Doubtful Accounts of $17,430; record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method.Berry Farms has an accounts receivable balance at the end of 2018 of $425,650. The net credit sales for the year are $924,123. The balance at the end of 2017 was $378,550. What is the number of days sales in receivables ratio for 2018 (round all answers to two decimal places)?
- Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120 in its accounts receivable. Additionally, Karras had a credit balance in its allowance for doubtful accounts of 4,350 and 9,420 at the beginning and end of the year, respectively. During the year, Karras made credit sales of 1,530,000, collected receivables in the amount of 1,445,700, and recorded bad debt expense of 83, 750. Required: Next Level Compute the amount of accounts receivable that Karras wrote off during the year and the amount of accounts receivable at the beginning of the year.The company had credit sales of $100,000 for the calendrer period 2021. Accounts receivable at the beginning of the year was $25,000. $80,000 was collected during 2021.The allowance for doubtful accounts totals at the beginning of the year was $1500. $ 1800 of accounts receivable were written off during the year as uncollectible. Assuming: 1- The company estimates the allowance for bad debts to be 2% of credit sales, what is the year end adjusting entry? Prepare the end of year 2021 accounts receivable and allowance for uncollectible accounts balances. 2-The company had credit sales of $100,000 for the calendrer period 2021. Accounts receivable at the beginning of the year was $25,000. $80,000 was collected during 2021.The allowance for doubtful accounts totals at the beginning of the year was $1500. $ 1800 of accounts receivable were written off during the year as uncollectible. Assuming: 1)The company estimates the allowance for bad debts to be 2% of credit sales, what is the year end adjusting entry? Prepare the end of year 2021 accounts receivable and allowance for uncollectible accounts balances. 2) The company estimates that 10% of ending accounts receivables will not be collected, . What is the year-end adjusting entry to record the bad debt expense?Prepare the end of year 2021 accounts receivable and allowance for uncollectible accounts balances.
- On December 31, 2022, Ace Hardware reported the following information on its balance sheet: Accounts Receivable $1,350,000 Allowance for Doubtful Accounts (credit) 81,000 During 2023, the Company had the following transactions related to receivables: Sales on Account Collections on Account Write-offs of uncollectible accounts Recovery of previously written off accounts If bad debts are estimated to be 1.50% of credit sales, determine the ending balance in the Allowance for Doubtful Accounts after adjustment, at the end of 2023: Select one: O $4,500,000 4,275,000 90,000 18,000 a. $67,500 b. $94,500 c. $58,500 d. $76,500 e. $74,250During 2018, yellow Corp. made sales of 370,000 on account. The balances in its Account Receivable and Allowance for doubtful accounts on December 31,2018 were $100,000 and 15,000(credit) respectively. An aging schedule indicated that $22,000 of the receivables would prove uncollectible. The amount of bad debts expenses that had to be recorded was?On 31st August 2021, Rossy Enterprise had a RM155,000 debit balance in Accounts Receivable and a RM6,200 credit balance in Allowance for Doubtful debt. During September 2021, Rossy made the following transactions:Sept 1 : Sales on account, RM590,000.Sept 10: Collection from receivables through online banking, RM627,000.Sept 20: Write-offs of uncollectible receivables, RM7,000.Sept 30: Bad debt was estimated at 3% of the month’s credit sales.Required:1) Journalize all September transactions using the allowance method. Post the entries to Accounts Receivable, Allowance for Doubtful Debt, and Bad Debt Expense. You need to balance off the ledgers and show their balances on 30th September 2021.2) Show the amount of net accounts receivable would Rossy report in its statement of financial position as at 30 September 2021. Is the amount being realistic? Give your reason.
- CYZ Company had the following information relating to its accounts receivable: Accounts receivable, 12/31/2020-P780,000 Credit sales during 2021- P3,290,000 Collections from customers during 2021 (excluding recovery of P20,000)- P3,640,000 Accounts written off during 2021-P85,000 Collection of accounts written off in prior years- P20,000 Estimated uncollectible accounts per aging at 12/31/2021-P63,000 At December 31, 2021, CYZ Company's accounts receivable before allowance foruncollectible accounts should beThe Manda Panda Company uses the allowance method to account for bad debts. At the beginning of 2021, the allowance account had a credit balance of $75,000. Credit sales for 2021 totaled $2,400,000 and the year-end accounts receivable balance was $490,000. During this year, $73,000 in receivables were determined to be uncollectible. Manda Panda anticipates that 3% of all credit sales will ultimately become uncollectible. The fiscal year ends on December 31.Required:1. Does this situation describe a loss contingency? Explain.2. What is the bad debt expense that Manda Panda should report in its 2021 income statement?3. Prepare the appropriate journal entry to record the contingency.4. What is the net accounts receivable value Manda Panda should report in its 2021 balance sheet?Ervin Company uses the allowance method to account for uncollectible accounts receivable. The allowance account is adjusted based on bad debt expense as a percentage of credit sales. For 2024, net credit sales totaled $5,900,000, and the estimated bad debt percentage is 1.50%. No previously written-off accounts receivable were reinstated during 2024. The allowance for uncollectible accounts had a credit balance of $56,000 at the beginning of 2024 and $47,000, after adjusting entries, at the end of 2024. Required: 1. What is bad debt expense for 2024 as a percent of net credit sales? 2. Assume Ervin makes no other adjustment of bad debt expense during 2024. Determine the amount of accounts receivable written off during 2024. 3. If the company uses the direct write-off method, what would bad debt expense be for 2024?