Rec ord s ummary journal entries related to the

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Unformatted text preview: world’s larges t elec tric al engineering and elec tronic s c ompanies . Headquartered in Germany , the c ompany has been in bus ines s for ov er 160 y ears and operates in 190 c ountries . In a rec ent annual report, it dis c los ed the following information c onc erning its allowanc e for doubtful ac c ounts (euros in millions denoted as €): Balanc e at Beginning of Period € 895 Charged to Cos ts and Ex pens es € 271 Amounts Written Off € (153) Balanc e at End of Period € 1,013 Required: 1. Rec ord s ummary journal entries related to the allowanc e for doubtful ac c ounts for the c urrent y ear. (Enter your answers in m illions of euros. Om it the "€" sign in your response.) General J ournal Bad debt ex pens e Allowanc e for doubtful ac c ounts Allowanc e for doubtful ac c ounts Ac c ounts rec eiv able Debit 271 ± 2% 153 ± 2% Credit 271 ± 2% 153 ± 2% P6-4 Recording Bad Debts and Interpreting Disclosure of Allowance for Doubtful Accounts LO4 [The following information applies to the questions displayed below.] Peet’s Coffee & Tea, Inc ., is a s pec ialty c offee roas ter and mark eter of branded fres h roas ted whole bean c offee. It rec ently dis c los ed the following information c onc erning the Allowanc e for Doubtful Ac c ounts on its Form 10­K Annual Report s ubmitted to the Sec urities and Ex c hange Commis s ion. A s ummary of the Allowanc e for Doubtful Ac c ounts is as follows (dollars in thous ands ): Allowanc e for Doubtful Ac c ounts Year 1 Year 2 Year 3 Section Break Balanc e at Beginning of Period $ 93 156 74 Additions (Charges ) to Ex pens e $ ? – 16 Write­Offs $ 6 ? 16 P6­4 Recording Bad Debts and Interpreting Disclosure of Allowance for Doubtful Accounts LO4 Balanc e at End of Period $ 156 74 74 6. awar d: 0.14 out of 0.14 points P6-4 Part 1 Required: 1. Rec ord the journal entries related to bad debts for y ear 3. (Enter your answers in thousands. Om it the "$" sign in your response.) General J ournal Bad debt expense Allowance for...
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