At the beginning of the current period, Huang Ltd. had balances in Accounts Receivable of $200,000 and
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(a) Prepare the entries to record the sales and collections during the period.
(b) Prepare the entry to record the write off of uncollectible accounts during the period.
(c) Prepare the entry(ies) to record the collection of the $3,500 account written off as uncollectible in part (b).
(d) Prepare the entry to record bad debts expense for the period.
(e) (1) Prepare T accounts for Accounts Receivable and Allowance for Doubtful Accounts, (2) enter the opening balances, (3) post the journal entries prepared in parts (a) through (d), and (4) determine the ending balances.
(f) Show the statement of financial position presentation of the receivables at the end of the period.
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...
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Related Book For
Financial Accounting Tools for Business Decision Making
ISBN: 978-1118644942
6th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
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