The practice case. Answer the 1, 2, 3 on Page 304

ehe year that Manpe had thett in the percent fron 200 to 200 of e r Con the 300nunts reces l i the allowance for doubtfial accoutapecess of v00 each year. Commest on the trend in the percent fro the Io vable for f Manpower used the direct weite-o 1 n 2oos, in statement for bad debts expense end of 200%, if Manpower wsed the diroct wite-o met ehodwht a anunt would appear o on the balance sheet for net accounts receivable tused the dict wite-omethol, what aunt PRACTICE CASI eeivable and bad debts expense (L.G1 the following sales terms are available of a home system is $12,000. To assist ca Ultimae sells high-end audio assist customers in financing their roediate payment in full by cash cash payment at the point of sale t using a credit ingcrdit card reecivables Adiscount a. Immmediate p or 2% of the sales invoice is allowed to card. Issuing institutions charge the retailer a fee of 4% for accepting and collo of December 31, 2010, the halances in selected current asset accounts were as fallonas t of the sales invoice price within 30 days from the invoice date on an interest-free basis current asset accounts were as follows: Debit $ 800,000 Credit Cash Alowance for Doubthul Accounts $16,800 Accounts Receivable- Credit 300,000 the year 2011, the following summary transactions occurred a cash basis totaled $450,000 (before discounts). Credit card sales using bank credit cards totaled $600,000 and using nonbank credit cards totaled $200,000. e Sales on open 30-day account totaled $980,000. d Cash collections on open account were $900,000 and from nonbank credit cards were $320,000. e The $9,000 account of Ron Murphy was written off as u ncollectible. C Receved a check from Phil Reser for $6,000 in full payment of his account, which had been written off as uncollectible in September 2010. Don Johnson returned an amplifier he did not like for a credit to his account in the amount of s3.200. Johnson did not have any previous balance in his account and has agreed to apply the credit to a new amplifier, which is on special order