Facial Cosmetics provides plastic surgery primarily to hide the appearance of unwanted scars and other blemishes. During

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Facial Cosmetics provides plastic surgery primarily to hide the appearance of unwanted scars and other blemishes. During 2015, the company provides services of $ 410,000 on account. Of this amount, $ 60,000 remains uncollected at the end of the year. An aging schedule as of December 31, 2015, is provided below.


Facial Cosmetics provides plastic surgery primarily to hide the appearance


Required:
1. Calculate the allowance for uncollectible accounts.
2. Record the December 31, 2015, adjustment, assuming the balance of Allowance for Uncollectible Accounts before adjustment is $ 400 (debit).
3. On April 3, 2016, a customer’s account balance of $ 500 is written off as uncollectible. Record the write- off.
4. On July 17, 2016, the customer whose account was written off in Requirement 3 unexpectedly pays $ 100 of the amount but does not expect to pay any additional amounts. Record the cashcollection.

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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Financial Accounting

ISBN: 978-0078025549

3rd edition

Authors: J. David Spiceland, Wayne Thomas, Don Herrmann

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