Baer Enterprisess balance sheet at October 31, 2014 (fiscal year-end) includes the following: Accounts receivable $379,000 Less:

Question:

Baer Enterprises’s at October 31, 2014 (fiscal year-end) includes the following:
Accounts receivable $379,000
Less: Allowance for uncollectible accounts (33,000)
Accounts receivable (net) $346,000

Transactions for fiscal year 2015 include the following:
1. Due to a product defect, previously sold merchandise totaling $10,500 was returned.
2. Customer accounts totaling $29,750 were written off during the year.
3. On November 1, 2014, Baer sold teleconferencing equipment and received a $75,000 noninterest-bearing note receivable due in three years. The normal cash selling price for the equipment is $56,349. Assume that the appropriate interest rate for this transaction is 10%.
4. Credit sales during the year were $395,000; collections totaled $355,000.
5. Baer sold Hartman, Inc., $45,000 of without recourse. Hartman’s fee for factoring receivables is 9%.
6. Utilizing the gross receivables approach, Baer determined that the 2015 fiscal year-end Allowance for uncollectible accounts should be $35,000.

Required:
1. Prepare journal entries for each of these events. Also prepare the entry to accrue interest income on the note.
2. Show Baer’s presentation for accounts and notes receivable at October 31, 2015.

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...