Reference no: EM133019601
Question - At 31 December 20X8, Small Ltd. reported gross accounts receivable of $2,481,800. Investigation showed the following:
-The credit balance in the allowance for doubtful accounts was $182,400 after write-offs for the year but before any bad debt adjustment. Bad debt expense is based on a percentage of receivables. Based on the latest available facts, $280,000 will not be collected due to collection issues.
-Terms of 1/10, n/30 were granted to all customers. Accounts receivable were recorded gross, and the discounts taken were recorded when taken by the customers in a discounts account, reported contra to the sales account. Estimated discounts inherent in the closing accounts receivable balance were $30,600. The allowance for sales discounts account was established at $29,800 last year and has not been adjusted since.
Required -
-Prepare year-end adjusting entries with respect to accounts receivable.
-Show how the net accounts receivable would appear on the statement of financial position on 31 December 20X8.
Prepare journal entries to record the issue of the bonds
: On January 31, 2020, Copperlink Incorporated issued 9% bonds with a face amount of $40,000,000. Prepare journal entries to record the issue of the bonds
|
What is the margin of safety
: A break-even chart shows maximum unit sales at 5 000 at 100 each, maximum profit of 1000 000, What is the margin of safety
|
Calculate the tax payable for a single resident
: Calculate the tax payable for a single resident with a $1.2 million Australian share portfolio earning 3.5% income, of which 70% is franked
|
What is the actual price of the sofa
: You are buying a sofa. You will pay $200 today and make three consecutive annual payments of $300 in the future. What is the actual price of the sofa
|
Prepare year-end adjusting entries
: At 31 December 20X8, Small Ltd. reported gross accounts receivable of $2,481,800. Prepare year-end adjusting entries with respect to accounts receivable
|
Calculate the issue price for the bonds
: On 1 July 2022, Kelly ltd issued 5 year bonds with a total face value of 1,000,000. Calculate the issue price for the bonds
|
Determine the maximum deduction for child care costs
: The child care costs for the current year, all properly documented for tax purposes, are $26500. Determine the maximum deduction for child care costs
|
Determine what fortnightly amount she could receive
: Assess Ethel's eligibility for the aged pension at 1 July 2020 and determine what fortnightly amount she could receive. Show all working
|
What are the different attributes of auditor quality
: What are the different attributes of auditor quality? Discuss with reference to auditor quality measures used in different articles you read in this class
|