Kimmel, Accounting, 6e Help I PRIN TEAe VERSION. BACK NEXT T RESOURCES Exercise
ID: 2332339 • Letter: K
Question
Kimmel, Accounting, 6e Help I PRIN TEAe VERSION. BACK NEXT T RESOURCES Exercise 8-3 At the beginning of the current period, Kingbird, Inc. had Accounts of $9,080 (credit). During the period, it had net credit sales of $ accounts receivable of $7,106. However, a $3,300 current period. Uncoll balances in Accounts Receivable of $200,900 and in Allowance for Doubtful l 787,700 and collections of $755,550. It wrote off as uncollectible account previously written off as uncollectible was recovered before the end of the lectible accounts are estimated to total $23,450 at the end of the period. (Omit cost of goods sold entries.) 8-14(Part SubmissiD) xercise s-10 your answer is correct. (a) Prepare the entries to record sales and collections during the period. (c) Prepare the entries to record the recovery of the uncollectible account during the period coce Results Jby.stdy (b) Prepare the entry to record the write-off of uncollectible accounts during the period (d) Prepare the entry to record bad debt expense for the period. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation (a) Accounts Receivable Debit Credit 787700 Sales Revenue 787,700 (To record sales) ype here to DELLExplanation / Answer
Answer
Accounts receivables
Allowance for Doubtful Accounts
Beginning Bal
$ 200,900.00
$ 9,080.00
1. Credit Sale
$ 787,700.00
2. Cash collection
$ (755,550.00)
3. Accounts written off
$ (7,106.00)
$ (7,106.00)
4. Previously written off, re instated
$ 3,300.00
$ 3,300.00
4. Cash received from above
$ (3,300.00)
Unadjusted balance
$ 225,944.00
$ 5,274.00
Adjusted balance required
$ 225,944.00
$ 23,450.00
Amount of Bad Debt Expense
$ -
$ 18,176.00
Adjusted Balance
$ 225,944.00
$ 23,450.00
---As seen above, unadjusted balance of Allowance account was $ 5274. Questions states that the Uncollectible accounts are estimated to be total of $ 23,450. Hence, Allowance account needs to be credited by $ 18,176 and Bad Debt expense will be debited by the same amount.
No.
Accounts title
Debit
Credit
(a)
Accounts receivables
$ 787,700.00
Sales revenue
$ 787,700.00
(Sales made)
(a)
Cash
$ 755,550.00
Accounts receivables
$ 755,550.00
(Cash Collected)
(b)
Allowance for Doubtful Accounts
$ 7,106.00
Accounts Receivables
$ 7,106.00
(Accounts written off)
(c )
Accounts Receivables
$ 3,300.00
Allowance for Doubtful Accounts
$ 3,300.00
(account written off now re instated)
Cash
$ 3,300.00
Accounts Receivables
$ 3,300.00
(Cash collected)
(d)
Bad Debt Expenses
$ 18,176.00
Allowance for Doubtful Accounts
$ 18,176.00
(Bad Debts recorded)
A [see working]
Ending Balance in Accounts receivables
$ 225,944.00
B [see working]
Ending Balance in Allowance for Doubtful Accounts
$ 23,450.00
C = A - B
Net Realizable Value of receivables at the end of period
$ 202,494.00
Accounts receivables
Allowance for Doubtful Accounts
Beginning Bal
$ 200,900.00
$ 9,080.00
1. Credit Sale
$ 787,700.00
2. Cash collection
$ (755,550.00)
3. Accounts written off
$ (7,106.00)
$ (7,106.00)
4. Previously written off, re instated
$ 3,300.00
$ 3,300.00
4. Cash received from above
$ (3,300.00)
Unadjusted balance
$ 225,944.00
$ 5,274.00
Adjusted balance required
$ 225,944.00
$ 23,450.00
Amount of Bad Debt Expense
$ -
$ 18,176.00
Adjusted Balance
$ 225,944.00
$ 23,450.00
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.