4-2 Problem Set Chapte X ? C ? v2.cengagenow.com/ilm/takeAssignment takeAssignme
ID: 2553387 • Letter: 4
Question
4-2 Problem Set Chapte X ? C ? v2.cengagenow.com/ilm/takeAssignment takeAssignmentMandoPinvokeraassignmentse take As g Locator-assignment-take&inprogress-false; a 4-2 Problem Set: Chapters 7 and 8 eBook Show Me How Entries for uncollectible receivables, using al of Journal May 24 Sold merchandise on acocount to Oid Town Cafe $18,450. The cost of goods sold was $11,000 Sept. 30 Received $6.000 from Old Town Cafe and wrote off the remainder owred on the sale of May 24 as uncollectible 7 Reinstated the account of Oid Town Cafe that had been writen off on September 30 and received $12,450 cash in full payment. Joumalize the above transactions in the accounts of Zippy Interiors Company a restaurant supply company that uses the allowance method of accounting for uncollectible recehvables Refer to the Chat of Accounts for exadt wording of acourt eExplanation / Answer
JOURNAL ENTRIES
May 24 - Sales on account
Dr Accounts receivable – Old Town Cafe $ 18,450
Cr Sales $ 18,450
Cost of Merchandise Sold A/c Dr $ 11,000
To Merchandise Inventory A/c Cr $ 11,000
Sep 30 - Collections from Old Town Cafe
Dr Cash $ 6,000
Cr Accounts receivable – Old Town Cafe $ 6,000
Dec 7
Dr Accounts receivable – Old Town Cafe $ 12,450
Cr Allowance for doubtful accounts $ 12,450
(To Reinstate the account)
Dr Cash $ 12,450
Cr Accounts receivable – Old Town Cafe $ 12,450
(To record the cash collection)
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.