After several collections attempts leslies wrote off 3100

Assignment Help Accounting Basics

Reference no: EM13592052

The following information pertains to Leslie's floor store sales on account and accounts receivable.

Accounts receivable balance, January 1, 2012 $ 52,500.00
Allowance for doubtful accounts, January 1, 2012 $ 4,725
Sales on account, 2012 $ 925,000
Cost of goods sold, 2012 $ 615,000
Collections on accounts receivable, 2012 $ 835, 000

After several collections attempts, Leslie's wrote off $3,100 of accounts that could not be collected Leslie's estimates that bad debt expense will be 0.5 percent of sales on account.
A. Compute the following amounts.
(1) Using the allowance method, the amount of uncollectible accounts expense for 2012.
(2) Net realizable value of receivables at the end of 2012
B. Explain why the uncollectible accounts expense amount is different from the amount that was written off.

Reference no: EM13592052

Questions Cloud

On january 1 20x0 vickie maher purchases a large screen lcd : on january 1 20x0 vickie maher purchases a large screen lcd tv from american furniture and appliance co for 10000.

On august 1 a student signed a lease for an apartment for a : on august 1 a student signed a lease for an apartment for a period of three years. under the lease agreement a security

What is the lowest transfer price that would not reduce the : the post division of the m.t. woodhead company produces basic posts which can be sold to outside customers or sold to

On january 1 2009 pink company finished consultation : on january 1 2009 pink company finished consultation services and accepted in exchange a promissory note with a face

After several collections attempts leslies wrote off 3100 : the following information pertains to leslies floor store sales on account and accounts receivable. accounts receivable

Accounts officers at xerox corporation discovered that : accounts officers at xerox corporation discovered that significant errors have been made in the valuation of inventory

Ann and bob form robin corp ann transfers property worth : ann and bob form robin corp. ann transfers property worth 420000basis of 150000 for 70 shares in robin corp. bob

Tmas used equimolar amounts of diethylamine and alpha : thomas used equimolar amounts of diethylamine and alpha chloro-26-dimethylacetanilide in the preparation of lidocaine.

User Account

All Pages