Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the allowance for doubtful account has a $18,700 c

The Allowance for Doubtful Account has a $18,700 credit balance prior to adjustment (unadjusted balance)....

70.2K

Verified Solution

Question

Accounting

The Allowance for Doubtful Account has a $18,700 credit balance prior to adjustment (unadjusted balance). Net credit sales during the year are $1,600,000 and of 8% are estimated to be uncollectible. Accounts Receivable has a balance of $775,700 at the ending of the year. Show the allowance account with the unadjusted balance, adjusting entry and adjusted balance (3 pts); and, calculate the amount of the account receivables that the business expects/estimates will be collectible (2 pts). The Allowance for Doubtful Account has a $18,700 credit balance prior to adjustment (unadjusted balance). Net credit sales during the year are $1,600,000 and of 8% are estimated to be uncollectible. Accounts Receivable has a balance of $775,700 at the ending of the year. Show the allowance account with the unadjusted balance, adjusting entry and adjusted balance (3 pts); and, calculate the amount of the account receivables that the business expects/estimates will be collectible (2 pts).

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students