The following account balances come from the records of Ourso Company: Accounts receivable Beginning Balance $2,604...
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The following account balances come from the records of Ourso Company: Accounts receivable Beginning Balance $2,604 149 Ending Balance $3,613 Allowance for doubtful accounts 171 During the accounting period, Ourso recorded $12,900 of sales revenue on account. The company also wrote off a $184 account receivable. Required a. Determine the amount of cash collected from receivables. b. Determine the amount of uncollectible accounts expense recognized during the period. a. Collections of accounts receivable 15,504 b. Uncollectible accounts expense $ 206 ** Ultra Day Spa provided $88,000 of services during Year 1. All customers paid for the services with credit cards. Ultra submitted the credit card receipts to the credit card company immediately. The credit card company paid Ultra cash in the amount of face value less a 3 percent service charge. Required a. Record the credit card sales and the subsequent collection of accounts receivable in a horizontal statements model like the one shown here. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element is not affected by the event, leave the cell blank. b. Based on this information alone, answer the following questions: (1) What is the amount of total assets at the end of the accounting period? (2) What is the amount of revenue reported on the income statement? (3) What is the amount of cash flow from operating activities reported on the statement of cash flows? Required A Required B Record the credit card sales and the subsequent collection of accounts receivable in a horizontal statements model like the one shown here. In the Cash Flow column, indicate whether the item is an operating activity (OA), Investing activity (IA), or financing activity (FA). If an element is not affected by the event, leave the cell blank. (Do not round intermediate values. Round your final answers to the nearest whole dollar. Not every cell will require entry. Enter any decreases to account balances with a minus sign.) Show less ULTRA DAY SPA Horizontal Statements Model Balance Sheet Income Statement Assets Equity Ret Net Cash Revenue Event Expense Cash Flows Ear, Income 1. 82,720 € 88,000 5,280 82,720 2. 82,720 82,720 OAO Acct. Rec. 82,720 € - = (82.720) Liab + + + Required A Required B Based on this information alone, answer the following questions: (Do not round intermediate values. Round your answer to nearest whole dollar.) (1) What is the amount of total assets at the end of the accounting period? (2) What is the amount of revenue reported on the income statement? (3) What is the amount of cash flow from operating activities reported on the statement of cash flows? Show less A 1. Total assets $ 82,720 Revenue recognized $ 88,000 Cash flow from operating activities $ 82,720 * 2. 3. The following account balances come from the records of Ourso Company: Accounts receivable Beginning Balance $2,604 149 Ending Balance $3,613 Allowance for doubtful accounts 171 During the accounting period, Ourso recorded $12,900 of sales revenue on account. The company also wrote off a $184 account receivable. Required a. Determine the amount of cash collected from receivables. b. Determine the amount of uncollectible accounts expense recognized during the period. a. Collections of accounts receivable 15,504 b. Uncollectible accounts expense $ 206 ** Ultra Day Spa provided $88,000 of services during Year 1. All customers paid for the services with credit cards. Ultra submitted the credit card receipts to the credit card company immediately. The credit card company paid Ultra cash in the amount of face value less a 3 percent service charge. Required a. Record the credit card sales and the subsequent collection of accounts receivable in a horizontal statements model like the one shown here. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element is not affected by the event, leave the cell blank. b. Based on this information alone, answer the following questions: (1) What is the amount of total assets at the end of the accounting period? (2) What is the amount of revenue reported on the income statement? (3) What is the amount of cash flow from operating activities reported on the statement of cash flows? Required A Required B Record the credit card sales and the subsequent collection of accounts receivable in a horizontal statements model like the one shown here. In the Cash Flow column, indicate whether the item is an operating activity (OA), Investing activity (IA), or financing activity (FA). If an element is not affected by the event, leave the cell blank. (Do not round intermediate values. Round your final answers to the nearest whole dollar. Not every cell will require entry. Enter any decreases to account balances with a minus sign.) Show less ULTRA DAY SPA Horizontal Statements Model Balance Sheet Income Statement Assets Equity Ret Net Cash Revenue Event Expense Cash Flows Ear, Income 1. 82,720 € 88,000 5,280 82,720 2. 82,720 82,720 OAO Acct. Rec. 82,720 € - = (82.720) Liab + + + Required A Required B Based on this information alone, answer the following questions: (Do not round intermediate values. Round your answer to nearest whole dollar.) (1) What is the amount of total assets at the end of the accounting period? (2) What is the amount of revenue reported on the income statement? (3) What is the amount of cash flow from operating activities reported on the statement of cash flows? Show less A 1. Total assets $ 82,720 Revenue recognized $ 88,000 Cash flow from operating activities $ 82,720 * 2. 3.
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Related Book For
Fundamental Financial Accounting Concepts
ISBN: 978-0078025907
9th edition
Authors: Thomas Edmonds, Christopher Edmonds
Posted Date:
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