Chapter 8 Practice Problems Problem #9 - Analysis of Accounts Receivable Method At the end of...

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Chapter 8 Practice Problems Problem #9 - Analysis of Accounts Receivable Method At the end of the current year, Accounts Receivable has a balance of $6,000,000: Allowance for Doubtful Accounts has a credit balance of $50,000; and Net Sales for the year total $18,000,000. Using the Analysis of Accounts Receivable Method the balance for the Allowance for Doubtful Accounts is estimated as $125,000. 1) Calculate the dollar amount required to record the allowance amount. 2) Prepare the adjusting journal entry for the Allowance for Doubtful Accounts: Date Accounts 3) Calculate the Net Accounts Receivable Balance Problem # 10 - Analysis of Accounts Receivable Method At the end of the current year, Accounts Receivable has a balance of $400,000: Allowance for Doubtful Accounts has a credit balance of $1,800; and Net Sales for the year total $6,000,000. Using the Analysis of Accounts Receivable Method the balance for the Allowance for Doubtful Accounts is estimated as $80,000. 1)Calculate the dollar amount required to record the allowance amount. Date Dr 2) Prepare the adjusting journal entry for the Allowance for Doubtful Accounts: Accounts 3) Calculate the Net Accounts Receivable Balance Cr Dr Cr Chapter 8 Practice Problems Problem #9 - Analysis of Accounts Receivable Method At the end of the current year, Accounts Receivable has a balance of $6,000,000: Allowance for Doubtful Accounts has a credit balance of $50,000; and Net Sales for the year total $18,000,000. Using the Analysis of Accounts Receivable Method the balance for the Allowance for Doubtful Accounts is estimated as $125,000. 1) Calculate the dollar amount required to record the allowance amount. 2) Prepare the adjusting journal entry for the Allowance for Doubtful Accounts: Date Accounts 3) Calculate the Net Accounts Receivable Balance Problem # 10 - Analysis of Accounts Receivable Method At the end of the current year, Accounts Receivable has a balance of $400,000: Allowance for Doubtful Accounts has a credit balance of $1,800; and Net Sales for the year total $6,000,000. Using the Analysis of Accounts Receivable Method the balance for the Allowance for Doubtful Accounts is estimated as $80,000. 1)Calculate the dollar amount required to record the allowance amount. Date Dr 2) Prepare the adjusting journal entry for the Allowance for Doubtful Accounts: Accounts 3) Calculate the Net Accounts Receivable Balance Cr Dr Cr

Answer rating: 100% (QA)

The image shows two practice problems related to the Analysis of Accounts Receivable Method also known as the aging of receivables method or allowance ... View the full answer