Thunderwood Industries has a past history of uncollectible accounts, as shown below. Estimate the allowance for doubtful
Question:
Thunderwood Industries has a past history of uncollectible accounts, as shown below. Estimate the allowance for doubtful accounts, based on the aging of receivables schedule you completed in Exercise 8-8.
In Exercise 8-8, The accounts receivable clerk for Thunderwood Industries prepared the following partially completed aging of receivables schedule as of the end of business on August 31:
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The following accounts were unintentionally omitted from the aging schedule and not included in the subtotals above:
-2.png)
Age ClassPercent Uncollectible
Not past due .........2%
1–30 days past due..... 6
31–60 days past due ....12
61–90 days past due.... 30
Over 90 days past due...75
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that... Aging Schedule
Aging schedule is an accounting table that shows a company’s account receivables. It is an summarized presentation of accounts receivable into a separate time brackets that the rank received based upon the days due or the days past due. Generally...
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Corporate Financial Accounting
ISBN: 978-1133952411
12th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
