Reference no: EM133080353

Question -

Q1. Jonah Inc. prepared the aging of accounts receivable at December 31, 2020 and determined that the net realizable value of the accounts receivables was P750,000. Additional information are as follows: Allowance for Bad Debts, Jan. 1, 2020- P84,000 (credit); Accounts written off during 2020 P69,000; Accounts receivable, Dec. 31, 2020, P810,000; and Uncollectible accounts recovery during 2020 is P15,000. What is Jonah allowance for doubtful accounts for the year ended Dec. 31, 2019?

Q2. Micah Company had an accounts receivable balance of P1,200,000 at the end of the first year of operations. The receivable balances were net of the related allowances for bad debts. During the first year of its operations, Micah recorded charges to bad debts expense of P150,000 and wrote off as uncollectible accounts receivable of P45,000. How much is the accounts receivable before the allowance for bad debts to be presented in the balance sheet?