1. You are given the following balances for the year 20x5:

	Provision for doubtful accounts, beginning of the year		45337
	Provision for doubtful accounts, year-end		52666
	canceled accounts		25930
What is the bad debt expense for the year?

2. Mork, Ltd. had the following bank reconciliation as of July 31, 20x6:

	Balance by bank statement, July 31, 20x6	$36572
	Add: Deposit in Transit	10655
	Less: outstanding checks	11481
	Balance in books, July 31, 20x6	$35746
The data by bank for the month of August 20x6 were as follows:
	Deposits	$ 45352
	Disbursements	48429
All reconciling items as of July 31, 20x6 were settled at the bank in August. Outstanding checks as of August 31, 20x6 amounted to $5,551. There were no deposits in transit as of August 31, 20x6. What is the cash balance for books as of August 31, 20x6?

3. You enter into a three-year service contract. The total price of the contract is $23023. The costs incurred in the first year are $5,247 and the expected costs to complete the contract are $6,683. What profit will be recognized on this contract in the first year?

Answer rating: 100% (QA)

To calculate the bad debt expense for the year you can use the formula Bad Debt Expense Provision fo... View the full answer