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The following separate cases require an analysis of bad debt expense. 1. Roundtree Inc., a manufacturer of natural foods, reported credit sales of $1,150,000 in the current year. Roundtree also reported the following balances. Roundtree wrote off $5,000 of accounts during the current year. How much cash was collected from credit sales in the current year? 2. Brynn Inc., an electronics servicing company, reported $40,000 of gross cash sales (on which there were $2,000 of actual returns and allowances) and $60,000 of gross credit sales (on which $3,000 of cash discounts were taken) in the current year. The beginning and ending balances of accounts receivable in the current year were $20,000 and $15,000, respectively. How much cash was collected in the current year from sales? 3. Vantage Company had a beginning balance of $250,000 in the allowance for doubtful accounts, wrote off accounts totaling $10,000 during the year, and estimated the ending balance in the allowance to be 10% of accounts receivable based on an analysis of the December 31 accounts receivable balance of $3,000,000. What is bad debt expense for the year? 4. Seven Flags Inc. had a beginning balance and ending balance in accounts receivable of $140,000 and $260,000, respectively, The beginning of year balance in the allowance for doubtrul accounts was a crodit of $28,000. Sales on credit were $2,000,000 for the year, and the company wrote off accounts totaling $28,000 during the year. (a) What were cash collections on sales during the year? (b) If the company estimates expected bad debt expense as 0.5% of credit sales, what is the net amount expected to be collected from accounts receivable at year-end

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