In 2017, Colbert had the following activity in selected accounts. Allowance for Accounts Receivable Doubtful Accounts 1/1/17 Bad debt expense 1/1/17 20,000 100,000 1,200 1,840 Revenues 1,000 Write-offs Write-offs 1,000 90,000 Collections 12/31/17 29,000 2,040 12/31/17

In 2017, Colbert had the following activity in selected accounts. Allowance for Accounts Receivable Doubtful Accounts 1/1/17 Bad debt expense 1/1/17 20,000 100,000 1,200 1,840 Revenues 1,000 Write-offs Write-offs 1,000 90,000 Collections 12/31/17 29,000 2,040 12/31/17

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 10PB: Goods for Less uses the balance sheet aging method to account for uncollectible debt on receivables....

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Question

Colbert Corporation had the following 2017 income statement.

Revenues	$100,000
Expenses	60,000
	$ 40,000

In 2017, Colbert had the following activity in selected accounts.

Check the below image for selected account's activity.

Prepare Colbert’s cash flows from operating activities section of the statement of cash flows using (a) the direct method and (b) the indirect method.

In 2017, Colbert had the following activity in selected accounts.
Allowance for
Accounts Receivable
Doubtful Accounts
1/1/17
Bad debt expense
1/1/17
20,000
100,000
1,200
1,840
Revenues
1,000
Write-offs
Write-offs
1,000
90,000
Collections
12/31/17
29,000
2,040
12/31/17

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