Chapter 8 Connect Homework 6 //ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fnewconnect.mheducation.com9%252. A Saved Help 6 Save & Exit Check Innovative Tech Incorporated (ITI) has been using the percentage of credit sales method to estimate bad debts. During November, ITI sold services on account for $150,000 and estimated that 3/4 of 1 percent of those sales would be uncollectible. 10 Required: points 1. Prepare the November adjusting entry for bad debts. 2. Starting in December, ITI switched to using the aging method. At its December 31 year-end, total Accounts Receivable is $83,300 aged as follows: (1) 1 to 30 days old, $68,000; (2) 31 to 90 days old, $12,000; and (3) more than 90 days old, $3,300. The average Book rate of uncollectibility for each age group is estimated to be (1) 12 percent, (2) 24 percent, and (3) 48 percent, respectively. Prepare a schedule to estimate an appropriate year-end balance for the Allowance for Doubtful Accounts. 3. Before the end-of-year adjusting entry is made, the Allowance for Doubtful Accounts has a $1,250 credit balance at December 31. Hint Prepare the December 31 adjusting entry. 4. Show how the various accounts related to accounts receivable should be shown on the December 31 balance sheet. Print Complete this question by entering your answers in the tabs below. n References Required 1 Required 2 Required 3 Required 4 Prepare the November adjusting entry for bad debts. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) X View transaction list View journal entry worksheet Debit Credit Date General Journal No 1,125 November 30 Bad Debt Expense 1, 125 Allowance for Doubtful Accounts 6 Innovative Tech Incorporated (ITI) has been using the percentage of credit sales method to estimate bad debts. During November, ITI sold services on account for $150,000 and estimated that 3/4 of 1 percent of those sales would be uncollectible. 10 Required: points 1. Prepare the November adjusting entry for bad debts. 2. Starting in December, ITI switched to using the aging method. At its December 31 year-end, total Accounts Receivable is $83,300, aged as follows: (1) 1 to 30 days old, $68,000; (2) 31 to 90 days old, $12,000; and (3) more than 90 days old, $3,300. The average eBook rate of uncollectibility for each age group is estimated to be (1) 12 percent. (2) 24 percent, and (3) 48 percent, respectively. Prepare a schedule to estimate an appropriate year-end balance for the Allowance for Doubtful Accounts. 3. Before the end-of-year adjusting entry is made, the Allowance for Doubtful Accounts has a $1,250 credit balance at December 31. Hint Prepare the December 31 adjusting entry. 4. Show how the various accounts related to accounts receivable should be shown on the December 31 balance sheet. Print Complete this question by entering your answers in the tabs below. References Required 1 Required 2 Required 3 Required 4 Starting in December, ITI switched to using the aging method. At its December 31 year-end, total Accounts Receivable is $83,300, aged as follows: (1) 1 to 30 days old, $68,000; (2) 31 to 90 days old, $12,000; and (3) more than 90 days old, $3,300. The average rate of uncollectibility for each age group is estimated to be (1) 12 percent, (2) 24 percent, and (3) 48 percent, respectively. Prepare a schedule to estimate an appropriate year-end balance for the Allowance for Doubtful Accounts. Show less A I to 30 31 to 90 Over 90 Total Accounts Receivable $ 68,000 $ 12,000 $ 3,300 $ 83,300 Estimated Uncollectible (%) 12 24 48 Estimated Uncollectible ($) $ 8, 160 $ 2,880 $ 1,584 $ 12,624 Mc Graw Hill 31 F Q Search CleaC https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fnewconnect.mheducation.com%252... A Chapter 8 Connect Homework 6 Saved Help Save & Exit 6 Check Before the end-of-year adjusting entry is made, the Allowance for Doubtful Accounts has a $1,250 credit balance at December 31. account field.) Prepare the December 31 adjusting entry. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first 10 View transaction list points Journal entry worksheet Book Hint Record the adjusting entry for bad debts as of December 31. Print Note: Enter debits before credits. Date General Journal Debit Credit References December 31 + Clear entry View general journal Record entry Mc Graw Hillhttps://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%2525%252Fnewconnect.mheducation.com%252... A Chapter 8 Connect Homework 6 Saved Help Save & Exit 6 Check my Innovative Tech Incorporated (ITI) has been using the percentage of credit sales method to estimate bad debts. During November, ITI sold services on account for $150,000 and estimated that 3/4 of 1 percent of those sales would be uncollectible. 10 Required: points 1. Prepare the November adjusting entry for bad debts. 2. Starting in December, ITI switched to using the aging method. At its December 31 year-end, total Accounts Receivable is $83,300, aged as follows: (1) 1 to 30 days old, $68,000; (2) 31 to 90 days old, $12,000; and (3) more than 90 days old, $3,300. The average eBook rate of uncollectibility for each age group is estimated to be (1) 12 percent, (2) 24 percent, and (3) 48 percent, respectively. Prepare a schedule to estimate an appropriate year-end balance for the Allowance for Doubtful Accounts. 3. Before the end-of-year adjusting entry is made, the Allowance for Doubtful Accounts has a $1,250 credit balance at December 31. Prepare the December 31 adjusting entry. Hint 4. Show how the various accounts related to accounts receivable should be shown on the December 31 balance sheet. Print Complete this question by entering your answers in the tabs below. References Required 1 Required 2 Required 3 Required 4 Show how the various accounts related to accounts receivable should be shown on the December 31 balance sheet. Innovative Tech Incorporated (ITI) Balance Sheet (partial) At December 31 Next > Mc