Borke Company has a credit balance of $3,000 in Allowance for Doubtful Accounts. The estimated bad debt expense under the percentage-of-sales basis is $4,100. The total estimated uncollectibles under the percentage-of-receivables basis is $5,800. Prepare the adjusting entry under each basis.
Answer to relevant QuestionsThe accounts receivable turnover is 8.14, and average net receivables during the period are $400,000. What is the amount of net credit sales for the period?Assume the same information as BE9-4. In BE9-4, At the end of 2014, Carpenter Co. has accounts receivable of $700,000 and an allowance for doubtful accounts of $54,000. On January 24, 2015, the company learns that its ...Gentry Wholesalers accepts from Benton Stores a $6,200, 4-month, 9% note dated May 31 in settlement of Benton’s overdue account. (a) What is the maturity date of the note? (b) What is the entry made by Gentry at the ...Presented below are two independent situations.(a) On March 3, Kitselman Appliances sells $650,000 of its receivables to Ervay Factors Inc. Ervay Factors assesses a finance charge of 3% of the amount of receivables sold. ...Information related to Mingenback Company for 2014 is summarized below.Total credit sales ........... $2,500,000Accounts receivable at December ..... 31 875,000Bad debts written off ......... 33,000Instructions(a) ...
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