At the beginning of current year, Ulysses Company reported that the allowance for doubtful accounts has...

 

Transcribed Image Text:

At the beginning of current year, Ulysses Company reported that the allowance for doubtful accounts has a credit balance of P170,000. Bad debt recoveries and bad debts written off in the current year were P30,000 and P235,000, respectively. The allowance account had been previously calculated as a percentage of net sales. It was decided however to provide for doubtful accounts commencing with the year-end adjusting entry on the basis of an analysis of the age of the accounts receivable. The following schedule was prepared. Not yet due 1-30 days past due 31-60 days past due 61-90 days past due Over 90 days past due Additional accounts to be written off 1,700,000 1,200,000 100,000 150,000 120,000 30,000 Percent uncollectible NIL 5 25 50 100 Required: 1. What amount should be reported as required allowance for doubtful accounts at year-end? 2. How much would be the doubtful accounts expense for the current year? 3. What is the adjusting entry for the doubtful accounts expense for the current year? 4. What amount should be reported as net realizable value of accounts receivable at year-end? At the beginning of current year, Ulysses Company reported that the allowance for doubtful accounts has a credit balance of P170,000. Bad debt recoveries and bad debts written off in the current year were P30,000 and P235,000, respectively. The allowance account had been previously calculated as a percentage of net sales. It was decided however to provide for doubtful accounts commencing with the year-end adjusting entry on the basis of an analysis of the age of the accounts receivable. The following schedule was prepared. Not yet due 1-30 days past due 31-60 days past due 61-90 days past due Over 90 days past due Additional accounts to be written off 1,700,000 1,200,000 100,000 150,000 120,000 30,000 Percent uncollectible NIL 5 25 50 100 Required: 1. What amount should be reported as required allowance for doubtful accounts at year-end? 2. How much would be the doubtful accounts expense for the current year? 3. What is the adjusting entry for the doubtful accounts expense for the current year? 4. What amount should be reported as net realizable value of accounts receivable at year-end?

Answer rating: 100% (QA)

2 Given Function f x 1x XER Find Range of the f... View the full answer