Griswold's, Incorporated (GI), began operations In January, selling inexpensive sunglasses to large retalers lke Walgreens and...

  

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Griswold's, Incorporated (GI), began operations In January, selling inexpensive sunglasses to large retalers lke Walgreens and other smaller stores. Assume the following transactions occurred during its first six months of operations. January 1 Sold merchandise to Walgreens for $26,000; the cost of these goods to GI was $17,400. February 12 Received payment in full from Walgreens. March 1 Sold merchandise to Bravis Pharmaco on account for $3,600; the cost of these goods to GI Mas $1,700. April 1 Sold nerchandise to Tony's Pharmacy on account for $8,600. The cost to GI was $4, 700. May 1 Sold merchandise to Anjuli Stores on account for $2,600; the cost to GI was $1,500. June 17 Received $6, B00 on account from Tony's Pharemacy. Required: 1. Complete the following aged listing of customer accounts at June 30. 2. Estimate the Allowance for Doubtful Accounts requlred at June 30 assuming the following uncollectible rates: one month, 1 percent two months, 5 percent; three months, 20 percent, more than three months, 40 percent. 3-0. Show how Gl would report its accounts receivable on its June 30 balance sheet. 3-b. What amounts would be reported on an income statement prepared for the six-month period ended June 30? Reg 1 Req 2 Reg 3A Req 38 What amounts would be reported on an income statement prepared for the six-month period ended June 30? GRISWOLD'S, Incorporated Income Statement (partial) For the Six Months Ended June 30 < Req 3A Reg 38> Griswold's, Incorporated (GI), began operations In January, selling inexpensive sunglasses to large retalers lke Walgreens and other smaller stores. Assume the following transactions occurred during its first six months of operations. January 1 Sold merchandise to Walgreens for $26,000; the cost of these goods to GI was $17,400. February 12 Received payment in full from Walgreens. March 1 Sold merchandise to Bravis Pharmaco on account for $3,600; the cost of these goods to GI Mas $1,700. April 1 Sold nerchandise to Tony's Pharmacy on account for $8,600. The cost to GI was $4, 700. May 1 Sold merchandise to Anjuli Stores on account for $2,600; the cost to GI was $1,500. June 17 Received $6, B00 on account from Tony's Pharemacy. Required: 1. Complete the following aged listing of customer accounts at June 30. 2. Estimate the Allowance for Doubtful Accounts requlred at June 30 assuming the following uncollectible rates: one month, 1 percent two months, 5 percent; three months, 20 percent, more than three months, 40 percent. 3-0. Show how Gl would report its accounts receivable on its June 30 balance sheet. 3-b. What amounts would be reported on an income statement prepared for the six-month period ended June 30? Reg 1 Req 2 Reg 3A Req 38 What amounts would be reported on an income statement prepared for the six-month period ended June 30? GRISWOLD'S, Incorporated Income Statement (partial) For the Six Months Ended June 30 < Req 3A Reg 38>

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Answer3a Griswolds Balance sheet Partial At june 30 Accounts receiv... View the full answer