View the step-by-step solution to:

Question

# For each of the following scenarios, indicate the Bad Debt Expense to be recorded in 2011, the balance in the

Allowance for Doubtful Accounts account at December 31, 2011, and the net realizable value of the Accounts Receivable at December 31, 2011: a. An analysis of Simmon's Company's \$830,000 balance in Accounts Receivable at December 31, 2011, indicates \$15,500 of uncollectible receivables. Before adjustment the balance in Allowance for Doubtful Accounts is a credit balance of \$1,200. Bad Debt Expense for 2011 \$ Allowance for Doubtful Accounts at Dec. 31, 2011 Net Realizable Value of A/R at Dec. 31, 2011 b. Blake Company had net credit sales of \$900,000 during 2011, and has an Accounts Receivable balance of \$425,000 at December 31, 2011, and an Allowance for Doubtful Accounts credit balance of \$8,000. Blake estimates Bad Debt Expense as 3/4 of 1% of net credit sales. Bad Debt Expense for 2011 \$ Allowance for Doubtful Accounts at Dec. 31, 2011 Net Realizable Value of A/R at Dec. 31, 2011 c. Hidgon Inc. has a balance of \$312,000 in Accounts Receivable at December 31, 2011. An analysis of those receivables shows \$2,400 will probably not be collected. Before adjusting entries are prepared, the Allowance for Doubtful Accounts has a debit balance of \$750. Bad Debt Expense for 2011 \$ Allowance for Doubtful Accounts at Dec. 31, 2011 Net Realizable Value of A/R at Dec. 31, 2011

Hi I am enclosing the solution file.... View the full answer

For each of the following scenarios, indicate the Bad Debt Expense to be
recorded in 2011, the balance in the Allowance for Doubtful Accounts account at
December 31, 2011, and the net realizable...

### Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

### -

Educational Resources
• ### -

Study Documents

Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

Browse Documents