Estimation of Doubtful Accounts

Problem 5-20 (AICPA Adapted) Sky Company provided the following information year-end: 2020 2018 880,000 Accounts receivable 800,000 ( 10,000) Allowance for doubtful accounts ( 15,000) ( 20,000) Allowance for sales returns ( 25,000) 850,000 Net realizable value 760,000 The entity reported doubtful accounts expense in 2020 of P30,000 and had products returned for credits totaling P15,000 at sale price. Gross sales for 2020 amounted to P6, 150,000. 1. What amount of accounts receivable was written during 2020? a. 35,000 b. 30,000 c. 15,000 d. 10,000 2. What amount was collected from customers during 2020? a. 6,035,000 b. 6,070,000 C. 6,020,000 d. 6,100,000 . What amount was recorded as estimated sales returns during 2020? a. 10,000 b. 15,000 C . 20,000 d. 5,000 4. What amount was reported as net sales for 2020? a. 6, 150,000 b. 6.140,000 C. 6,100,000 d. 6, 135,000 160