The ABC Co. delivered $5,000 worth of window washing services in 2021 but only collected $4,300 in cash from customers this year. Its only expense is payroll, for which it paid $3,500 in 2021. At the end of the year, it had $550 in unpaid payroll. What would its net income be under accrual accounting? O A. $1,500 O B. $950 O C. $800 O D. $250
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- The following information is available for Buble Co. (All numbers are in millions.) December 31, December 31, 2021 2020 Accounts Receivable, Net of Allowance for Doubtful Accounts of $410 and $460 $18,450 $16,800 Net Revenues 91,000 85,000 The company recorded Bad Debt Expense of $11 (million) for 2021. Required: 1. What value of accounts receivable was written off during 2021? 2. What was the receivables turnover ratio for 2021? 1. Accounts Receivable Written-Off 2. Receivables Turnover Ratio million timesTeeter Company began 2022 with accounts receivable of $420,000 and an allowance for uncollectible accounts of $24,000 (credit balance) Bad debt expense for the year was $37,000 and the ending balance in the allowance for uncollectible accounts account was $15,000. What was the amount of accounts receivable written off during the year? A. $9,000 B. $429,000 C. $466,000 D. $46,000ABC Inc. reported revenue of P1,980,000 in its income statement for the year ended December 31, 2020, Additional Information are as follows: Dec. 31, 2019 P 415,000 (25,000) P 390,000 Dec. 31, 2020 Accounts Receivable Allowance for Bad Debts P 550,000 (40000) P 510,000 Net Realizable Value No uncollectible accounts were written off during 2020. How much is the cash basis revenue for 2020?
- At December 31, 2024, Bacardi Company had $500,000 in Accounts Receivable and$20,000 in the Allowance for Doubtful Accounts. All sales made by Bacardi are onaccount. During 2025, Bacardi recorded the following transactions: $2,000,000 insales; $2,100,000 collected from customers; $27,000 in accounts were written off asuncollectible; and bad debt expense for the year ended December 31, 2025 was$31,000. When preparing their December 31, 2025 balance sheet, the amountBacardi Company would report as net accounts receivable is: $373,000 $400,000 $349,000 $369,000Duncan Corporation began 2018 with a balance in Accounts Receivable of $500,000.Service revenue, all on account, for the year totaled $2,600,000. The company ended theyear with a balance in Accounts Receivable of $700,000. Duncan’s bad-debt write-offs arenonexistent. How much cash did the company collect from customers in 2018?a. $3,300,000b. $2,600,000c. $2,800,000d. $2,400,000The Accounts Receivable balance for Wedge Company at December 31, 2023, was $27,000. During 2024, Wedge earned revenue of $461,000 on account and collected $324,000 on account. Wedge wrote off $5,800 receivables as uncollectible. Industry experience suggests that uncollectible accounts will amount to 2% of accounts receivable. Read the reguirements. Requirement 1. Assume Wedge had an unadjusted $2,100 credit balance in Allowance for Bad Debts at December 31, 2024. Journalize Wedge's December 31, 2024, adjustment to record bad debts expense using the percent-of-receivables method. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Date Accounts and Explanation Debit Credit Dec. 31 Requirement 2. Assume Wedge had an unadjusted $1,800 debit balance in Allowance for Bad Debts at December 31, 2024. Journalize Wedge's December 31, 2024, adjustment to record bad debts expense using the percent-of-receivables method. (Record debits first,…
- The following information is related to December 31, 2021 balances. • Accounts receivable $3490000 • Allowance for doubtful accounts (credit) ( 254000) • Cash realizable value $3236000 During 2022 sales on account were $ 885000 and collections on account were $ 500000. Also during 2022 the company wrote off $49000 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that bad debts should be estimated at $ 323000. The change in the cash realizable value from the balance at 12/31/21 to 12/31/22 was a $ 322000 increase. $ 267000 increase. $ 370000 increase. $ 316000 increase.Mr. Husker’s Tuxedos Corp. ended the year 2021 with an average collection period of 33 days. The firm’s credit sales for 2021 were $56.2 million. What is the year-end 2021 balance in accounts receivable for Mr. Husker’s Tuxedos? (Enter your answer in dollars not in millions.) Accounts Receivable = __________he following information is related to December 31, 2021 balances. • Accounts receivable $3340000 • Allowance for doubtful accounts (credit) (275000) • Cash realizable value $3065000 During 2022 sales on account were $877000 and collections on account were $506000. The company wrote off $48500 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that bad debts should be estimated at $371000. Bad debt expense for 2022 is $371000. $96000. $144500. $47500.
- In 2022, Pane in the Glass window company sold 100 windows on account for $200 each, By 12/31/2022 , the company collected $13,000 from customers. The compony estimates bad debt expense equal to 3% of credit sales but didn't write off any accounts receivable. On the company's 2022 balance sheet: what was the gross accounts recelvable?(d) At December 31, 2021, Sunland Company reported this information on its balance sheet. Accounts receivable $592,000 Less: Allowance for doubtful accounts 41,000 During 2022, the company had the following transactions related to receivables. 1. Sales on account $2,780,000 2. Sales returns and allowances 50,000 3. Collections of accounts receivable 2,480,000 4. Write-offs of accounts receivable deemed uncollectible 44,000 5. Recovery of accounts previously written off as uncollectible 17,000 X Your answer is incorrect. Compute the accounts receivable turnover and average collection period, assuming the expected uncollectibles informatio provided in (c). (Round answers to 1 decimal place, e.g. 25.2. Use 365 days for calculation.) Accounts receivable turnover Average collection period 3.9 times 93.6 daysAt the end of its first year of operations, December 31, 2021 Nickle Inc. reported the following information: Accounts receivable, net of allowance for doubtful accounts P 9,500,000 Customer accounts written off as uncollectible during 2021 240,000 Bad debt expense for 2021 840,000 What should be the balance of accounts recievable mat December 31, 2021 before substracting allowance for doubtful accounts? A. P 10,100,000 B. P 9,740,000 C. P 10,340,000 D. P 10,580,000