Solution-What is the amount of the bad debts expense

What is the amount of the bad debts expense adjusting entry

Reference no: EM132514113

Questions -

Q1. Craigmont uses the allowance method to account for uncollectible accounts. Its year-end unadjusted trial balance shows Accounts Receivable of $104,500, allowance for doubtful accounts of $665 (credit) and sales of $925,000. If uncollectible accounts are estimated to be 4% of accounts receivable, what is the amount of the bad debts expense adjusting entry?

A. $4,845

B. $4,180

C. $3,515

D. $3,700

E. $3,850.

Q2. Giorgio Italian Market bought $4,000 worth of merchandise from Food Suppliers and signed a 90-day, 6% promissory note for the $4,000. Food Supplier's journal entry to record the collection on the maturity date is: (Use 360 days a year.)

A. Debit Cash $4,060; credit Notes Receivable $4,060

B. Debit Notes Receivable $4,000; credit Cash $4,000

C. Debit Cash $4,000; debit Interest Receivable $60; credit Sales $4,060

D. Debit Notes Receivable $4,060; credit Sales $4,060

E. Debit Cash $4,060; credit Interest Revenue $60; credit Notes Receivable $4,000

Reference no: EM132514113

Questions Cloud

Intrusion detection system software product : Research the Internet and locate one intrusion detection system (IDS) software product. What are some of the disadvantages?

How income for february under absorption costing would be : How Income for February under absorption costing would be. The Snow Company began the year with no inventories of work in process

How much was Baltimores revenue for the year : No dividends were paid. Expenses incurred during the year were $116,000. How much was Baltimore's revenue for the year

Describe the primary ways the human resource management : Describe the primary ways the human resource management part of the organizational structure positively or negatively impacts the issue that you selected.

What is the amount of the bad debts expense adjusting entry : If uncollectible accounts are estimated to be 4% of accounts receivable, what is the amount of the bad debts expense adjusting entry

Discuss the cultural changes in regard to social media : Discuss the cultural changes in regard to social media and the growing online technology that has significantly lowered face to face/ human interactions

Calculate the product price using a fixed manufacturing : Calculate the product price using a fixed manufacturing overhead rate by department calculated using the average department activity.

Record the share transactions : The fair values of the common and preferred shares on that day were $13.5 and $48.43 respectively. Record the share transactions

Different topics regarding intercultural management : Analyze various approaches to managing diversity in the workplace, evaluating the advantages and challenges of each.

User Account

All Pages

What is the amount of the bad debts expense adjusting entry

Reference no: EM132514113

Reference no: EM132514113

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT