Renue Spa had the following balances at December 31, Year 2: Cash of $12,000, Accounts Receivable of $81,000, Allowance for Doubtful Accounts of $2,700, and Retained Earnings of $90,300. During Year 3, the following events occurred: 1. $2,600 of accounts receivable were written off as uncollectible. 2. Renue unexpectedly collected $100 of receivables that had been written off in a previous accounting period. 3. Services provided on account during Year 3 were $215,000. 4. Cash collections from receivables were $216,972. 5. Uncollectible accounts expense was estimated to be 1 percent of the sales on account for the period. Required a. Organize the transaction data in accounts under an accounting oquation

Renue Spa had the following balances at December 31, Year 2: Cash of $12,000, Accounts Receivable of $81,000, Allowance for Doubtful Accounts of $2,700, and Retained Earnings of $90,300. During Year 3, the following events occurred: 1. $2,600 of accounts receivable were written off as uncollectible. 2. Renue unexpectedly collected $100 of receivables that had been written off in a previous accounting period. 3. Services provided on account during Year 3 were $215,000. 4. Cash collections from receivables were $216,972. 5. Uncollectible accounts expense was estimated to be 1 percent of the sales on account for the period. Required a. Organize the transaction data in accounts under an accounting oquation

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter13: Investments And Long-term Receivables

Section: Chapter Questions

Problem 14GI

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