QUESTION 5 Duncan Corporation uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 8% uncollectible rate. Accounts more than 60 days are considered old and have a 37% uncollectible rate. Duncan's Allowance for doubtful accounts currently has an unadjusted credit balance of $3,000. If Duncan has $87400 of young accounts and $12000 of old accounts, how much should be reported in the adjusted Allowance f doubtful accounts?

QUESTION 5 Duncan Corporation uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 8% uncollectible rate. Accounts more than 60 days are considered old and have a 37% uncollectible rate. Duncan's Allowance for doubtful accounts currently has an unadjusted credit balance of $3,000. If Duncan has $87400 of young accounts and $12000 of old accounts, how much should be reported in the adjusted Allowance f doubtful accounts?

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter16: Accounting For Accounts Receivable

Section: Chapter Questions

Problem 2CE: Tonis Tech Shop has total credit sales for the year of 170,000 and estimates that 3% of its credit...

See similar textbooks

Similar questions

QUESTION 2 Duncan Corporation uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 6% uncollectible rate. Accounts more than 60 days are considered old and have a 37% uncollectible rate. Duncan's Allowance for doubtful accounts currently has an unadjusted credit balance of $3,000. If Duncan has $59,700 of young accounts and $8,000 of old accounts, how much should be reported in the adjusted Allowance for doubtful accounts?
Young and Old Corporation (YOC) uses two aging categories to estimate uncollectible accounts.Accounts less than 60 days are considered young and have a 5% uncollectible rate. Accounts morethan 60 days are considered old and have a 40% uncollectible rate.Required:1. If YOC has $100,000 of young accounts and $400,000 of old accounts, how much should bereported in the Allowance for Doubtful Accounts?2. If YOC’s Allowance for Doubtful Accounts currently has an unadjusted credit balance of$40,000, how much should be credited to the account?3. If YOC’s Allowance for Doubtful Accounts has an unadjusted debit balance of $5,000, howmuch should be credited to the account?4. Explain how YOC’s Allowance for Doubtful Accounts could have a debit balance
Young and Old Corporation (YOC) uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 3% uncollectible rate. Accounts more than 60 days are considered old and have a 40% uncollectible rate. Required: 1. If YOC has $108,000 of young accounts and $480,000 of old accounts, how much should be reported in the Allowance for Doubtful Accounts? 2. If YOC's Allowance for Doubtful Accounts currently has an unadjusted credit balance of $48,000, how much should be credited to the account? 3. If YOC's Allowance for Doubtful Accounts has an unadjusted debit balance of $5,800, how much should be credited to the account? Answer is complete but not entirely correct. 1. Amount to be Reported 2$ 195,240 V 2. Amount to be Credited $ 195,240 x 3. Amount to be Credited 189,440 X
Young and Old Corporation (YOC) uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 5% uncollectible rate. Accounts more than 60 days are considered old and have a 40% uncollectible rate. Required: 1. If YOC has $100,000 of young accounts and $400,000 of old accounts, how much should be reported in the Allowance for Doubtful Accounts? 2. If YOC's Allowance for Doubtful Accounts currently has an unadjusted credit balance of $40,000, how much should be credited to the account? 3. If YOC's Allowance for Doubtful Accounts has an unadjusted debit balance of $5,000, how much should be credited to the account? 4. Explain how YOC's Allowance for Doubtful Accounts could have a debit balance
Young and Old Corporation (YOC) uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 5% uncollectible rate. Accounts more than 60 days are considered old and have a 40% uncollectible rate. Required: 1. If YOC has $118,000 of young accounts and $320,000 of old accounts, how much should be reported in the Allowance for Doubtful Accounts? 2. If YOC's Allowance for Doubtful Accounts currently has an unadjusted credit balance of $32,000, how much should be credited to the account? 3. If YOC's Allowance for Doubtful Accounts has an unadjusted debit balance of $4,200, how much should be credited to the account? 1 Amount to be Reported 2. Amount to be Credited 3. Amount to be Credited
QUESTION 5 Information about Calbee Company is provided below: Ending Accounts Receivable: $100,000 Total Credit Sales: $250,000 Beginning Allowance for Doubtful Accounts: $15,000 (Debit) Total Write-offs: $5.000 Calbee uses the percent of receivables method. It estimates that 3% of receivables will ultimately be uncollectible. What is the amount of Bad Debt Expense? I I
Young and Old Corporation (YOC) uses two aging categories to estimate uncollectible accounts. Accounts less than 60 days are considered young and have a 5% uncollectible rate. Accounts more than 60 days are considered old and have a 40% uncollectible rate. Required: If YOC has $118,000 of young accounts and $320,000 of old accounts, how much should be reported in the Allowance for Doubtful Accounts? If YOC’s Allowance for Doubtful Accounts currently has an unadjusted credit balance of $32,000, how much should be credited to the account? If YOC’s Allowance for Doubtful Accounts has an unadjusted debit balance of $4,200, how much should be credited to the account?
ABC estimates potential uncollectable accounts receivables using Aging Accounts Receivable approach. The following is the analysis: Customer K. Brant D. Eaton S Klein C. Sheen Total Total % uncollectible $500 300 150 200 1.150 Not yet due 100 200 300 1% Number of Days Past Due 1-30 31-60 61-90 Over 90 $300 $200 300 5% 50 250 10% What is the total amount of estimated uncollectible? 200 200 25% 200 200 50%
Scooby Snacks Corporation estimates uncollectible accounts based on an aging of accounts receivable as shown below. Age Group Amount Receivable Percent Uncollectible Not yet due $50,000 20% 0-30 days past due 11,000 15% 31-90 days past due 8,000 45% More than 90 days past due 1,000 85% Estimate the total allowance for uncollectible accounts: $28,124 O $16,100 O $3,940 O $6,008
From aging its Accounts Receivable, Marlon De Guzman Company estimates that 18,750 of it's accounts will be uncollectible. At this time, Allowance for Doubtful Accounts has an 8,400 credit balance. The adjusting entry is. A. Debit allowance for doubtful accounts, 18,750; credit accounts receivable, 18,750. B. Debit doubtful accounts expense, 10,350; credit allowance for doubtful accounts, 10,350 C. Debit doubtful accounts expense, 18,750; credit accounts receivable 18,750 D. Debit allowance for doubtful accounts, 10,350; credit doubtful accounts expense, 10,350 (Which one is correct)
I NEED HELP FINDING THE DOLLAR AMOUNT Vaughn Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end. Calculate the total estimated bad debts based on the below information. Number of Days Outstanding Total 0–30 31–60 61–90 91–120 Over 120 Accounts receivable 331,400 104,000 70,800 65,400 49,100 $42,100 % uncollectible 2% 5% 6% 9% 21% Estimated Bad debts $enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount
Please answer with good presentation Lauren Sign Company uses the allowance method in accounting for uncollectible accounts. Past experience indicates that 3% of net credit sales will eventually be uncollectible. Selected account balances at December 31, 2020, and December 31, 2021, appear below 12/31/2020 12/31/2021 Net Credit Sales 800,000 1,000,000 Accounts Receivable 150,000 200,000 Allowance for Doubtful Accounts 12,000 ? Bad Debt Expense 18,000 ? What is the balance of Allowance for Doubtful Accounts at December 31, 2021? (Hint: you might want to create a t-account)