At December 31, 2014, the Accounts Receivable balance of Stenner's Electronics is $300,000. The allowance for doubtful

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At December 31, 2014, the Accounts Receivable balance of Stenner's Electronics is $300,000. The allowance for doubtful accounts has an $8,900 credit balance. Accountants for Stenner's Electronics prepare the following aging schedule for its accounts receivable:
Age of Accounts 31-60 Days Accounts Receivable 1-30 Days 61-90 Days Over 90 Days $80,000 $300,000 $140,000 $70,000 $10,0

Required
1. Journalize the adjusting entry for doubtful accounts based on the aging schedule. Show the T-account for the allowance at December 31, 2014.
2. Show how Stenner's Electronics will report Accounts Receivable on its December 31, 2014, balance sheet.
3. Suppose all the facts of this situation are the same except that Allowance for Doubtful Accounts has a $900 debit balance. Calculate the amount of the adjusting entry.

Aging Schedule
Aging schedule is an accounting table that shows a company’s account receivables. It is an summarized presentation of accounts receivable into a separate time brackets that the rank received based upon the days due or the days past due. Generally...
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Accounting Volume 1

ISBN: 978-0132690096

9th Canadian edition

Authors: Charles T. Horngren, Walter T. Harrison, Jo Ann L. Johnston, Carol A. Meissner, Peter R. Norwood

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