Use the information from the journal entries of Chocolate Passion, Inc., to answer the following questions:

Requirements
1. Start with Accounts Receivable’s beginning balance ($35,000), and then post to the Accounts Receivable T-account. How much do Chocolate Passion’s customers owe the company at December 31, 2013?
2. Start with the Allowance account’s beginning credit balance ($7,220), and then post to the Allowance for Uncollectible Accounts T-account. How much of the receivables at December 31, 2013, does Chocolate Passion expect not to collect?
3. At December 31, 2013, how much cash does Chocolate Passion expect to collect on its accountsreceivable?

Transcribed Image Text:

Journal Entry Debi Credit 1,030,000 Accounts 1. Accounts Receivable Sales Revenue 1,030,000 2. Cash 895,000 Accounts Receivable 895,000 3. Allowance for Uncollectible Accounts Accounts Receivable 15,000 15,000 4. Uncollectible-Account Expense 20,600 Allowance for Uncollectible Accounts 20,600