Module 3.3

# Module 3.3 - Year end accounts receivable Balance X...

This preview shows pages 1–6. Sign up to view the full content.

[Type text] [Type text] Subtract the debts from the sales \$180,000 - \$150,000 \$30,000 Now calculate 4% of \$30,000=\$1,200 Amount of year end doubtful accounts= \$1,200

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
Balance in accounts Balance in accounts receivable: Debit Balance: \$15,000 Sales that weren’t collected: + \$90,000 \$105,000 3% of \$105,000 is \$3,150 Amount Allowance for Doubtful accounts = \$3,150
[Type text] [Type text] Beginning Balance + Sales – Collections – Write Offs \$150,000 + \$1,300,000 - \$1,350,000 - \$4,000 = \$96,000 Allowance for Doubtful Accounts – Accounts Receivable Write Off \$7,500 - \$4,000 = \$3,500

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Year end accounts receivable Balance X Estimated Percentage of Change \$96,000 * 5% = \$4,800 \$4,800-\$3,500 = \$1,300 Amount 2008 Bad Debt Expense: \$1,300 Beginning Balance + Sales – Collections – Write Offs \$20,000 + \$400,000 - \$340,000 - \$1,000 = \$79,000 Allowance for Doubtful Accounts – Accounts Receivable Write Off \$1,500 - \$1,000 = \$500 [Type text] [Type text] Year end accounts receivable Balance X Estimated Percentage of Change \$79,000*8% = \$6,320 \$6,320 - \$500 = \$5820 Amount Bad Debt Expense: \$5,820...
View Full Document

## This note was uploaded on 07/16/2011 for the course ACCT 212 taught by Professor Song during the Spring '11 term at DeVry Kansas City.

### Page1 / 6

Module 3.3 - Year end accounts receivable Balance X...

This preview shows document pages 1 - 6. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online