bad debt expense? Allowance for Doubtful AccountsDec. 3116,260Accounts Receivable-Wade Dolan2,820Accounts Receivable-Greg Gagne v1,750Accounts Receivable-Amber Kisko v6,720Accounts Receivable-Shannon Poole v3,900Accounts Receivable-Niki Spence1,070Bad Debt ExpenseDec. 31Allowance for Doubtful AccountsXFeedbackCheck My Workc. How much higher (lower) would Rustic Tables' net income have been under the direct write-off method than under the allowance method?Higher v byFeedbackCheck My WorkFeedbackCheck My Work>> b. Journalize the transactions under the allowance method, assuming that the allowance account had a beginning balance of $29,220 at the beginning of the year andthe company uses the analysis of receivables method. Rustic Tables Company prepared the following aging schedule for its accounts receivable:Aging Class (NumberReceivables BalanceEstimated Percent ofof Days Past Due)on December 31Uncollectible Accounts0-30 days$468,0003 %31-60 days175,00061-90 days56,0002591-120 days20,00055More than 120 days28,00090Total receivables$747,000June 8Allowance for Doubtful Accounts V9,740Accounts Receivable-Kathy Quantel9,740CashAug. 146,920Allowance for Doubtful Accounts10,510 VAccounts Receivable-Rosalie Oakes17,430Accounts Receivable-Kathy Quantel vOct. 169,740Allowance for Doubtful Accounts9,740CashOct. 169,740Accounts Receivable-Kathy Quantel0 740

Allowance for doubtful debt works as a bad debt reserve account, where the accounts receivable…

Dec. 31 Allowance for Doubtful Accounts v 16,260 Accounts Receivable-Wade Dolan v 2,820 Accounts Receivable-Greg Gagne 1,750 Accounts Receivable-Amber Kisko v 6,720 Accounts Receivable-Shannon Poole v 3,900 V Accounts Receivable-Niki Spence v 1,070 Dec. 31 Bad Debt Expense v Allowance for Doubtful Accounts v Feedback Check My Work c. How much higher (lower) would Rustic Tables' net income have been under the direct write-off method than under the allowance method? Higher v by Feedback Check My Work Feedback Check My Work

Dec. 31 Allowance for Doubtful Accounts v 16,260 Accounts Receivable-Wade Dolan v 2,820 Accounts Receivable-Greg Gagne 1,750 Accounts Receivable-Amber Kisko v 6,720 Accounts Receivable-Shannon Poole v 3,900 V Accounts Receivable-Niki Spence v 1,070 Dec. 31 Bad Debt Expense v Allowance for Doubtful Accounts v Feedback Check My Work c. How much higher (lower) would Rustic Tables' net income have been under the direct write-off method than under the allowance method? Higher v by Feedback Check My Work Feedback Check My Work

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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