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quiz6 - Question 1 Question 1 1 Peterson Company has the...

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Question 1 Question 1 1. Peterson Company has the following items at year end: Cash in bank $20,000 Petty cash 300 Short term paper with maturity of 2 months 5,500 Postdated checks 1,400 Peterson should report cash and cash equivalents of Answer $20,000. $20,300. $25,800. $27,200. 0.5 points Question 2 Question 2 1. Turner had a January 1, 2009 balance in the Allowance for Doubtful Accounts of $10,000. During 2009, it wrote of $7,200 of accounts and collected $2,100 on accounts previously written off. The blance in Accounts Receivable was $200,000 at January 1 and $240,000 at December 31. At December 31, 2009, Turner estimates that 5% of accounts receivable will prove to be uncollectible. What is the bad debt expense for 2009? Answer $2,000. $7,100. $9,200. $12,000. 0.5 points Question 3 Question 3
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1. Sadler had the following account balances at year end: Sales $425,000 Sales returns and allowance 14,000 Accounts receivable 43,000 Allowance for doubtful accounts 760 If the estimates of uncollectibles is made by taking 2% of net sales, the amount of bad debt expense is? Answer $6,700. $8,220. $8,500. $9,740. 0.5 points Question 4 Question 4 1. On January 1, 2009, Anthony exchanged equipment for a $160,000 noninterest-bearning note due on January 1, 2012. The prevailing rate of interest for a note of this type at January 1, 2009 was 10%. What amount of interest revenue should be included in Anthony's 2010 income statement. Answer 0. $12,000. $13,200. $16,000. 0.5 points Question 5 Question 5 1. Rooster Corporation had a January 1, 2009 blance in the Allowance for Doubtful Accounts of $12,000. During 2009, it wrote off $8,640 of accounts and collected $2,520 on accounts previously written off. The blance inAccounts Receivable was $240,000 at January 1 and $288,000 at December 31. At December, 31, 2009, Rooster estimates that 5% of accounts receivable will prove to be uncollectible. What should Rooster report as its Allowance for Doubtful Accounts at December 31, 2009?
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Answer $5,760.
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