7. At January 1, year 2, Amman Co. had a credit balance of $260,000 in its...
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7. At January 1, year 2, Amman Co. had a credit balance of $260,000 in its allowance for uncollectible accounts. Based on past experience, 0.2% of Amman credit sales have been uncollectible. During year 2 Amman wrote off $235,000 of uncollectible accounts. Credit sales for year 2 were $9,000,000. In its December 31, year 2 balance sheet, what amount should Amman report as allowance for uncollectible accounts? 7. At January 1, year 2, Amman Co. had a credit balance of $260,000 in its allowance for uncollectible accounts. Based on past experience, 0.2% of Amman credit sales have been uncollectible. During year 2 Amman wrote off $235,000 of uncollectible accounts. Credit sales for year 2 were $9,000,000. In its December 31, year 2 balance sheet, what amount should Amman report as allowance for uncollectible accounts?
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Answer a 115000 1 Net realised debtors Credit sales ba... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date:
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