Johnson Corp. is a wholesaler of imported products. The company had the following opening balances on January 1, 2020:

Accounts receivable	$305,000
Allowance for doubtful accounts	$-36,600
Net realizable value	$268,400

During 2020, the company
had the following summary transactions:

a. Sales on account, $3,312,000;
cost of goods sold, $1,490,000

b. Products returned by customers,
$66,000; cost of inventory returned,
$30,000

c. Cash collections on accounts
receivable, $3,047,000

d. Write-offs of accounts receivable
determined to be uncollectable, $45,750

e. A customer that was previously
written off sent in a cheque for $4,100

f. You estimate that $55,000 of your
accounts receivable will be
uncollected in the upcoming year.

Record all of the above transactions and then answer the questions that follow.

Question 

The entry to record transaction (c) would include which of the following? Select ALL that apply.

options:

a)	Decrease Cost of Goods Sold

b)	No entry required

c)	Decrease Accounts Receivable

d)	Increase Cash

e)	Increase Bad Debt Expense

f)	Increase Accounts Receivable

g)	Decrease Allowance for Doubtful Accounts

h)	Increase Allowance for Doubtful Accounts

i)	Increase Cost of Goods Sold

j)	Decrease Bad Debt Expenses

k)	Decrease Cash

Question:

options

The entry to record transaction (d) would include which of the following? Select ALL that apply.

a)	Increase Allowance for Doubtful Accounts

b)	Increase Cost of Goods Sold

c)	Decrease Bad Debt Expenses

d)	Decrease Cash

e)	Decrease Cost of Goods Sold

f)	No entry required

g)	Increase Cash

h)	Increase Bad Debt Expense

i)	Increase Accounts Receivable

j)	Decrease Accounts Receivable

k)	Decrease Allowance for Doubtful Accounts

Answer rating: 100% (QA)

Journal Entries Events Particulars Debit Credit a Accounts Receivables 331200000 To Sales 331200000 ... View the full answer