Horngren's Accounting (11th Edition)
11th Edition
ISBN: 9780133856781
Author: Tracie L. Miller-Nobles, Brenda L. Mattison, Ella Mae Matsumura
Publisher: PEARSON
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Chapter 9, Problem 9.1FSC
> Financial Statement Case 9-1
Use Starbucks Corporation’s Fiscal 2013 Annual Report and the Note 1 data on “Allowance for Doubtful Accounts to answer the following questions. Visit http://www.pearsonhighered.com/Homgren to view a link to Starbucks Corporation’s annual report.
Requirements
- How much accounts receivables did Starbucks report as of September 29, 2013? As of September 30, 2012?
- Refer to Note 1, “Allowance for Doubtful Accounts.” How does Starbucks calculate allowance for doubtful accounts? What was the amount of the account as of September 29, 2013? As of September 30, 2012?
- Compute Starbucks’s acid-test ratio at the end of 2013. If all the current liabilities came due immediately, could Starbucks pay them?
- Compute Starbucks’s
accounts receivable turnover at the end of 2013. Use total net revenues. - Compute Starbucks’s days’ sales in receivables at the end of 2013.
- How does Starbucks compare to Green Mountain Coffee Roasters, Inc. on the basis of the acid-test ratio, accounts receivable turnover, and days’ sales in receivables?
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The following information is taken from the 2015 annual report to shareholders of Herme-Finnet (HF) Company.
For Fiscal
2015
For Fiscal
2014
$ 57 million
$36 million
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Accounts receivable, net
Accounts receivable, gross
Beginning Balance
At Fiscal Year-
end 2015
13,473 million
13,673 million
Using a T-account for the allowance for doubtful accounts, identify the changes in the account during fiscal year 2015.
Note: Enter your answers in millions (i.e., 10,000,000 should be entered as 10).
Ending Balance
At Fiscal Year-end 2014
13,942 million
14, 185 million
Allowance for Doubtful Accounts
Interpreting the Accounts Receivable FootnoteHewlett-Packard Company reports the following in its 2015 10-K report.
October 31(in millions)
2015
2014
Accounts receivable
$13,363
$13,832
Footnotes to the company's 10-K provide the following additional information relating to its allowance for doubtful accounts.
For the fiscal years ended October 31(in millions)
2015
2014
2013
Allowance for doubtful accounts-accounts receivable
Balance, beginning of period
$232
$332
$464
Provision for doubtful accounts
46
25
23
Deductions, net of recoveries
(89)
(125)
(155)
Balance, end of period
$189
$232
$332
(a) What is the gross amount of accounts receivables for Hewlett-Packard in fiscal 2015 and 2014?
($ millions)
2015
2014
Gross accounts receivable
Answer?
Answer?
(b)What is the percentage of the allowance for doubtful accounts to gross accounts receivable for 2015 and 2014? (Round your answers to two decimal places.)
($ millions)
2015
2014…
I need the answer on number 15 only. Thanks
1.The 2017 year-end balances of Accounts Receivable and Allowance for Doubtful Accounts are $1,000,000 and $100,000, respectively. Complete the net realizable value (net accounts receivable) presentation at 12/31/2017. Do not use decimals.
2.Prepare the journal entry to record 2018 total sales: $3,000,000, of which $2,200,000 are on account. Do not use decimals. [Note: enter cash sales in the first line.]
3.Compute the net realizable value (net accounts receivable) presentation after the journal entry to record 2018 sales. Do not use decimals.
4.Prepare the journal entry to record $2,700,000 of accounts receivable collected in 2018. Do not use decimals.
5.Compute the net realizable value (net accounts receivable) presentation after the two journal entries to record 2018 sales and 2018 collections. Do not use decimals.
6.Prepare the journal entry to record $25,000 of write-offs in 2018. Do not use decimals.
7.Compute the net realizable value…
Chapter 9 Solutions
Horngren's Accounting (11th Edition)
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