11.12 Top Co has total receivables outstanding of $280,000. The accountant believes that approximately 1% of these balances will not be collected, so wishes to make an allowance of $28,000. No previous allowance has been made for receivables. Which of the following is the correct double entry to create this allowance? DEBIT CREDIT Irrecoverable debts Allowance for receivables A Allowance for receivables B. Receivables C Irrecoverable debts Receivables

11.12 Top Co has total receivables outstanding of $280,000. The accountant believes that approximately 1% of these balances will not be collected, so wishes to make an allowance of $28,000. No previous allowance has been made for receivables. Which of the following is the correct double entry to create this allowance? DEBIT CREDIT Irrecoverable debts Allowance for receivables A Allowance for receivables B. Receivables C Irrecoverable debts Receivables

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 4PB: Bristax Corporation recorded $1,385,660 in credit sales for the year, and $732,410 in accounts...

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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.
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.
Bidiyah Co. estimates that RO 8,000 of its accounts receivable to be uncollectible. If Allowance for Doubtful Accounts has a RO 1,200 debit balance, the company should record a: Select one: O a debit to Bad Debt Expense for RO 8,00. O b. debit to Bad Debt Expense for RO 6,800. O c cedit to Allowance for Doubtful Accounts for RO 8,000. O d. None of the answers are correct O e debit to Bad Debt Expense for RO 9,200.
One company has estimated that $3150 of its accounts receiable will be uncollectible. If allownace for doubtful accounts already has a credit balance of $1102, and the percentage of receivables method is used, it sadjustment to recrod for the period will require a debit to what for what amount?
5. The following accounts were taken from Nash Inc.'s trial balance at December 31, 2025. Contattaci m M B Son Net credit sales B Hou Allowance for doubtful accounts Accounts receivable Save for Later An MAANA In Bad debt expense, as adjusted $ eTextbook and Media Debit $13,960 333,200 If doubtful accounts are 3% of accounts receivable, determine the bad debt expense to be reported for 2025. Credit Search $804,200 DELL Attempts: 0 of 3 use MO
Entity A has accounts receivable of 500,000.00 and related allowance for bad debts of 120,000.00. How many is the carrying ammount of the accounts reveivable?
Using the percentage of receivables method for recording bad debt expense, estimated uncollectible accounts are $11,000. If the balance of the Allowance for Doubtful Accounts is $2,800 debit before adjustment, what is the balance after adjustment? Select one: a. $13,800 b. $8,200 C. $11,000 d. $2,800
Using the percentage of receivables method for recording bad debt expense, estimated uncollectible accounts are $11,000. If the balance of the Allowance for Doubtful Accounts is $2,800 debit before adjustment, what is the balance after adjustment? Select one: a. $11,000 b. $8,200 c. $13,800 d. $2,800 e. The answer does not exist
The following information concerns Complex, Inc.: Accounts receivable, 12/31/X7 $56,000 Credit sales during X7 $189,000 Allowance for doubtful accounts, 12/31/X7 $1,500 credit Bad debt expense is determined using the percentage of sales method. The company believes that 4% of sales will never be collected. What would be the balance in allowance for doubtful accounts after the adjusting entry? Select one: O a. $9,060 O b. $7,560 O c. $1,500 O d. $6,060 Oe. $2,240
Bidiyah Co. estimates that RO 6,500 of its accounts receivable to be uncollectible. If Allowance for Doubtful Accounts has a RO 1,200 debit balance, the company should record a Select one: O a. None of the answers are correct Ob.debit to Bad Debt Expense for RO 5,300. O c redit to Allowance for Doubtful Accounts for RO 6,500. O d debit to Allowance for Doubtful Accounts for RO 5,300. O e. credit to Bad Debt Expense for RO 7,700.
At 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
Using the percentage-of-receivables method for recording bad debt expense,estimated uncollectible accounts are $45,000. If the balance of the Allowancefor Doubtful Accounts is $6,000 balance before adjustment, what is the amountof bad debt expense for that period?a. $45,000b. $39,000c. $51,000d. $6,000