# Quiz 10.docx - Quiz 10-12 ABC estimates uncollectible...

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Quiz 10-12ABC estimates uncollectible accounts based on the percentage of accounts receivable. Whateffect will recording the estimate of uncollectible accounts have on the accounting equation?
Accounts Receivable are likeDead Fish that deteriorate with age
What is the receivables turnover ratio?
Calculating the Allowance for Bad Debts at the end of the yearis an APPROXIMATEprocedureABC accounts for bad debts using the allowance method. On 6/1, ABC wrote off DE's \$2,500account. What effect will this write-off have on ABC's balance sheet at the time of the write-off?
What is the most likely reason for a company to have an increase in average collection period?
Which of the following is/are a sign that a company cannot quickly turn its receivables into cash(may have more than one answer)?
ABC has the followinginformation:--Net credit sales =\$400,000-Net income = \$100,000-Average total assets =\$80,000
-What is ABC's averagecollection period (roundedto the nearest whole day)?
Accounts Receivable are usually measured atBenefit Value
A company has 12,247 customers they extend credit to, how many total A/R will they have (just
ABC reports a receivables turnover ratio of 14.5. The industry average is 10.7. What most likely
Which of the following is/are a sign that a companycanquickly turn its receivables into cash(may have more than one answer)?
Define "Big Bath", note this question will not be graded but it is very important.
In the Allowance Method when a receivable is resurrected:asset stay the same, net income staythe same.In the Allowance Method when we do the year end adjusting entry for Bad Debtsassetsdecrease, net income decreases.In the Allowance Method when we collect on a previouslywrittenoff receivableasset stay thesame, net income stay the same.In the allowance method Accountants have to do what to Report the Past (3 words)?Predict TheFutureGAAP- Generally Accepted Accounting PrinciplesA company has 12,247 customers they extend credit to, they will have 1masterA/R account.A company has 12,247 customers they extend credit to, they will have 12,247subsidiaryaccounts.
Quiz 6 Debits& CreditsThe Accounts Payable account has a beginning balance of\$15,000and the companypurchased\$40,000 of supplies on account during the month. The endingbalancewas\$20,000.How much did the company pay to creditors during the month?(just type numbers)

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Term
Summer
Professor
Cor
Tags
Generally Accepted Accounting Principles, DR CR, following entry