BVC Supplies Inc. sells exercise equipment. BVC notes that at December 31, 20XX, it has the following
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BVC Supplies Inc. sells exercise equipment. BVC notes that at December 31, 20XX, it has the following aging schedule of Accounts Receivable. 20XX Sales were $3,000,000. The amount in the allowance account at 12/31/XX is a credit balance of $23,000, prior to the review.
| Total | Current | 1–30 | 31–60 | 61–90 | Over 90 |
Accounts receivable | $625,000 | 300,000 | 150,000 | 100,000 | 50,000 | 25,000 |
% uncollectible | | 1% | 5% | 10% | 20% | 50% |
A. Net receivables using aging method (after adjustment):
B. Bad debt expense to be recorded using aging method:
Related Book For
Principles of Accounting
ISBN: 978-0618736614
10th edition
Authors: Belverd Needles, Marian Powers, Susan Crosson
Posted Date: