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miner12924owhu4d
13.11.2019 •
Business
Zuo software categorizes its accounts receivable into four age groups for purposes of estimating its allowance for uncollectible accounts. 1. accounts not yet due = $400,000; estimated uncollectible = 8%. 2. accounts 1–30 days past due = $50,000; estimated uncollectible = 15%. 3. accounts 31–90 days past due = $40,000; estimated uncollectible = 30% 4. accounts more than 90 days past due = $30,000; estimated uncollectible = 50%. at 12/31/2021, before recording any adjustments, zuo has a credit balance of $22,000 in its allowance for uncollectible accounts. required: 1. estimate the appropriate 12/31/2021 balance for zuo’s allowance for uncollectible accounts. 2. what journal entry should zuo record to adjust its allowance for uncollectible accounts? 3. calculate zuo’s 12/31/2021 net accounts receivable balance.
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Ответ:
(1) $66,500
(3) $453,500
Explanation:
(1) Account receivable total:
= $400,000 + $50,000 + $40,000 + $30,000
= $520,000
Allowance for uncollectible account total:
= ($400,000 × 8%) + ($50,000 × 15%) + ($40,000 × 30%) + ($30,000 × 30%)
= $32,000 + 7,500 + $12,000 + $15,000
= $66,500
Balance of allowance for uncollectible accounts on 12/31/2021 is $66,500.
(2) Journal entry for adjusting the allowance for uncollectible account is :
Bad debt expense A/c Dr. $44,500
To Allowance for uncollectible account $44,500
(Adjusting entry)
Workings:
= Amount uncollectible - credit balance in its allowance for uncollectible accounts
= $66,500 - $22,000
= $44,500
(3) Net account receivable balance on 12/31/2021:
Accounts receivables total = $520,000
Allowance for uncollectible account = $66,500
Net Account Receivables:
= Accounts receivables total - Allowance for uncollectible account
= $520,000 - $66,500
= $453,500
Ответ:
Budgeted cash collections in June would be: $127,000
Explanation:
Calculation of the Budgeted Collections for June
In the Month of Sale ($ 141,000 × 30 %) = $42,300
In Month following Sale ($ 128,000 ×60%) = $76,800
In Second Month following sale ($ 158,000 × 5%) = $7,900
Total Budgeted Collections for June = $127,000