Facebook uses the balance sheet approacy to estimate uncollectible accounts expense. At year-end an aging of the accounts receivable produced the following five grouping: Groups Accounts receivable by age Age group total Estimated Uncollectible accounts a. Not yet due $400,000 b. 1-30 days 90,000 c. 31-60 days 40,000 d. 61-90 days 20,000 e. Over 90 days past due 50,000 Total $600000 On the basis of past experience, the company estimated the percentage probability uncollectible for the above five age groups to be as follows: a, 1%; Group b, 2%; Group c, 9%; Group d, 15%; and Group e, 40%. a) Compute the estimated amount of uncollectible accounts based on the above classification by age group. Show your calculation in the table provided above. Please also show the total estimated uncollectible accounts. b) The allowance for doubtful accounts before adjustments at December 31,2020 showed a credit balance of $2500. Prepare the adjusting entry needed to bring the Allowance Accounts to the proper amount on December 31,2020.

Facebook uses the balance sheet approacy to estimate uncollectible accounts expense. At year-end an aging of the accounts receivable produced the following five grouping: Groups Accounts receivable by age Age group total Estimated Uncollectible accounts a. Not yet due $400,000 b. 1-30 days 90,000 c. 31-60 days 40,000 d. 61-90 days 20,000 e. Over 90 days past due 50,000 Total $600000 On the basis of past experience, the company estimated the percentage probability uncollectible for the above five age groups to be as follows: a, 1%; Group b, 2%; Group c, 9%; Group d, 15%; and Group e, 40%. a) Compute the estimated amount of uncollectible accounts based on the above classification by age group. Show your calculation in the table provided above. Please also show the total estimated uncollectible accounts. b) The allowance for doubtful accounts before adjustments at December 31,2020 showed a credit balance of $2500. Prepare the adjusting entry needed to bring the Allowance Accounts to the proper amount on December 31,2020.

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter8: Revenue Recognition, Receivables, And Advances From Customers

Section: Chapter Questions

Problem 25E

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Omega Company prepared an aging of accounts receivable on December 31, 2018 and determined that the net realizable value of the accounts receivable was P2,500,000. Alow ance for uncolectible accounts on January 1 Accounts written off as uncollectible Accounts receivable on December 31 Uncollectible accounts recovery 280,000 230,000 2,700,000 50,000 What is the uncollectible accounts expense for the current year?
Starlight, a Broadway media firm, uses the balance sheet approach to estimate uncollectible accounts expense. At year-end an aging of the accounts receivable produced the following classification: Not yet due.... $500,000 1-30 days past due... 110,000 31-60 days past due.. 50,000 61-90 days past due.. 30,000 Over 90 days past due.. 60,000 Total.. $750,000 On the basis of past experience, the company estimated the percentages probably uncollectible for the above five age groups to be as follows: Group 1, 1%; Group 2, 3%; Group 3, 10%; Group 4, 20%; and Group 5, 50%. The Allowance for Doubtful Accounts before adjustments at December 31 showed a credit balance of $4,700. What is the estimated amount of uncollectible accounts based on the above classification by age groups and the amount of the adjustment needed to bring the Allowance for Doubtful Accounts to the proper amount? A. $49,300 and $44,600 B. $44,600 and $4,700 C. $52,300 and $44,600 D. $49,300 and $54,000
Marigold Inc. uses the allowance method to estimate uncollectibles. The company produced the following aging of the accounts receivable at year-end. (a) Correct answer icon Your answer is correct. Calculate the total estimated uncollectibles based on the below information. Number of Days Outstanding Total 0–30 31–60 61–90 91–120 Over 120 Accounts receivable $212,900 $80,500 $47,100 $41,900 $25,500 $17,900 % uncollectible 1% 4% 5% 8% 20% Estimated Bad debts $enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount eTextbook and Media List of Accounts Attempts: 1 of 3 used (b) - (d) (b) Prepare the year-end adjusting journal entry to record the Bad Debt Expense using the aged uncollectible accounts receivable…
The following summarizes the aging of accounts receivable for Orange Incorporated as of July 31, Year 1: Number of Days Unpaid Not yet due 1 to 30 days past due 31 to 60 days past due Over 60 days past due Total Accounts Receivable 11.130 $ 175,982 89,200 53,600 31,800 Historical % Uncollectible 17,424 margin of error +/-3 www. 29 12% 18% The unadjusted balance of the Allowance for Doubtful Accounts of Orange Incorporated is a credit balance in the amount of $17.578 on July 31, Year 1. What is the amount of the adjusting entry to be recorded on July 31 Year 17 35%
(c) What is the balance of accounts receivable on it December 31 balance sheet? Estimating Uncollectible Accounts and Reporting Accounts ReceivableLaFond Company analyzes its accounts receivable at December 31, and arrives at the age categories below along with the percentages that are estimated as uncollectible. Age Group Accounts Receivable Estimated Loss % 0-30 days past due $ 180,000 1% 31-60 days past due 40,000 2 61-120 days past due 22,000 5 121-180 12,000 10 Over 180 days past due 8,000 25 Total accounts receivable $ 262,000
Starlight, a Broadway media firm, uses the balance sheet approach to estimate uncollectible accounts expense. At year-end an aging of the accounts receivable produced the following classification: Not yet due.. $500,000 1-30 days past due. 110,000 31-60 days past due. 50,000 61-90 days past due.. 30,000 Over 90 days past due.. 60,000 Total. $750,000 On the basis of past experience, the company estimated the percentages probably uncollectible for the above five age groups to be as follows: Group 1, 1%, Group 2, 3%, Group 3, 10%; Group 4, 20%; and Group 5, 50%. The Allowance for Doubtful Accounts before adjustments at December 31 showed a credit balance of $4,700. Vhat is the estimated amount of uncollectible accounts based on the above classification by age groups and the amount of the adjustment needed to bring the Allowance or Doubtful Accounts to the proper amount? DA. $44,600 and $4,700 O B. $49,300 and $44,600 O C. $49,300 and $54,000 O D. $52,300 and $44,600 tionale:
Sequoia, Inc. has given you the following information from its aging of Accounts Receivable. Using this information, determine the amount of the journal entry to record the estimated uncollectible accounts. Current $27,000 2% uncollectible 31 - 60 days 61- 90 days 6,000 5% uncollectible 3,000 15% uncollectible 91 and up 1.800 16% uncollectible The current balance in Allowance for Doubtful Accounts is a $144 debit. O A. $54,000 O B. $1,722 O C. $1,578 O D. $1,434
Renta Public Image, a firm specializing in marketing and publicity services, uses the balance sheet ap- proach to estimate uncollectible accounts expensc. At year-end an aging of the accounts receiv- Aging Accounts able produced the following classification: PROBLEM 7.5 Receivable; Write-offs LO 5 Not yet due 1-30 days past due $333,000 135,000 31-60 days past due 58,500 61-90 days past due 13,500 Over 90 days past due 22,500 Total $562,500 On the basis of past experience, the company estimated the percentages probably uncollectible for the above five age groups to be as follows: Group I, 1%; Group 2, 3%; Group 3, 10%; Group 4, 20%; and Group 5, 50%. The Allowance for Doubtful Accounts before adjustment at December 31 showed a credit bal- ance of $8,100. Instructions & Compute the estimated amount of uncollectible accounts based on the above classification by age groups. 6. Prepare the adjusting entry needed to bring the Allowance for Doubtful Accounts to the proper amount. C. Assume…
d) Golden Music Company uses the allowance method to estimate uncollectible accounts receivable. An aging of the accounts receivable revealed the following: Estimated Percentage Uncollectible Current Accounts $17,000 $1,500 $1,200 $500 $900 $21,100 1% 1-30 days past due 31–60 days past due 61–90 days past due Over 90 days past due Total Accounts Receivable 3% 6% 12% 25% On 31 December 2021, the company has found out that a customer went bankrupt and management agreed that the accounts receivable of $900 included above which is past due for over 90 days can be written off. i) Compute the total estimated uncollectible accounts receivable as at 31 December 2021. ii) Prepare the journal entry year-end to write off the accounts receivable of $900 and the adjusting journal entry to record the bad debts for the year ended 31 December 2021.
Sunland Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end. (a) Correct answer icon Your answer is correct. Calculate the total estimated bad debts based on the below information. Number of Days Outstanding Total 0–30 31–60 61–90 91–120 Over 120 Accounts receivable 200,900 77,000 45,800 38,700 22,900 $ 16,500 % uncollectible 2% 5% 6% 9% 21% Estimated Bad debts $ enter a dollar amount $ enter a dollar amount $ enter a dollar amount $ enter a dollar amount
The following summarizes the aging of accounts receivable for Johnston Supplies, Incorporated as of July 31, 2022: Total Accounts Receivable $ 127,700 Historical % Uncollectible 90,400 54,800 33,000 Not yet due 1 to 30 days past due 31 to 60 days past due Over 60 days past due Required: a. The unadjusted balance of the Allowance for Doubtful Accounts of Johnston Supplies, Incorporated is a credit balance in the amount of $29,307 on July 31, 2022. Prepare the required adjusting entry to record Bad Debt Expense for the year. b. Johnston Supplies, Incorporated writes off $3,201 of uncollectible accounts on August 15, 2022. Prepare the required adjusting entry to record the write-off. c. Use a T-account to determine the account balance in the Allowance for Doubtful Accounts on August 15, 2022. 2 Complete this question by entering your answers in the tabs below. Number of Days Unpaid Required A The unadjusted balance of the Allowance for Doubtful Accounts of Johnston Supplies, Incorporated…
An analysis and aging of the accounts receivable of Carla Vista Marine Service Company at December 31 reveal these data: Accounts receivable 12/31/X1 Bad Debt Expense for Year X1 $3,290,000 69,000 Allowance for doubtful accounts ENDING BALANCE 12/31/X1. Credit Balance 459,000 What is the cash realizable value of the accounts receivable at December 31 after adjustment?

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bartleby, a Learneo, Inc. business

Groups	Accounts receivable by age	Age group total	Estimated Uncollectible accounts
a.	Not yet due	$400,000
b.	1-30 days	90,000
c.	31-60 days	40,000
d.	61-90 days	20,000
e.	Over 90 days past due	50,000
	Total	$600000