ENG SL      welcome! guest_d8fda09876 
login register  
 Tutorial

The following selected transactions were taken from the records of Aprilla Company for the first year of its operations ending December 31, 2012: Jan. 27 Wrote off account of C. Knoll, $5,640. Feb.

The following selected transactions were taken from the records of Aprilla Company for the first year of its operations ending December 31, 2012:

Jan. 27 Wrote off account of C. Knoll, $5,640.
Feb. 17 Received $2,820 as partial payment on the $7,500 account of Joni Lester.  Wrote off the remaining balance as uncollectible.
Mar. 3 Received $5,640 from C. Knoll, which had been written off on January 27.  Reinstated the account and recorded the cash receipt.
Dec. 31 Wrote off the following accounts as uncollectible (record as one journal entry):
   
Jason Short $3,780
Kim Snider 2,820
Sue Pascall 1,690
Tracy Lane 2,370
Randy Pape 850
   
If necessary, record the year-end adjusting entry for the uncollectible accounts.

For those amount boxes in which no entry is required, leave the box blank. If an account is not required, select "No entry" from the drop down box(es).

a.  Journalize the transactions for 2012 under the direct write-off method.

b.  Aprilla Company uses the percent of credit sales method of estimating uncollectible accounts expense. Based on past history and industry averages, 2% of credit sales are expected to be uncollectible. Lights of the Aprilla Company recorded $1,975,000 of credit sales during 2012.

Journalize the transactions for 2012 under the allowance method.

c.  How much higher (lower) would Aprilla Company's net income have been under the direct write-off method than under the allowance method?



quote
. . . . . . Wrote off account of C. Knoll, $5,640. Feb. 17 Received $2,820 as partial payment on the $7,500 account of Joni Lester. Wrote off the remaining balance as uncollectible. Mar. 3 Received $5,640 from C. Knoll, which had been written off on January 27. Reinstated the account and recorded th. . . . . .
attachments

(To view random extracted content click on the file name attached)
rating item rating(s)
Your discount card is added once you login,
select the card during checkout for discounted price.


rating seller rating
MuhammadYousaf
MuhammadYousaf
 
 




 related tutorials
MuhammadYousaf 

Cost behavior refers to the manner in which a cost is allocated to products a cost is estimated a cost is used in setting selling prices a cost changes as the related activity changes Costs

...
view 
mastermind 

A government can finance its budget deficit by doing all of the following

...
view 
MuhammadYousaf 

1. Under the direct method, depreciation expense is __________ in the Operating Activities section. a. added b. deducted c. ignored d. None of these choices are correct. 2. The differe

...
view 
MuhammadYousaf 

1. Which of the following accounts would NOT likely appear in a job order cost system of a service business? a. Finished Goods b. Work in Process c. Factory Overhead d. None of these choices are cor

...
view 
MuhammadYousaf 

1. The quantity of the material output divided by the quantity of the material input gives you the a. yield. b. direct materials cost per equivalent unit. c. average cost per unit. d. None of these

...
view 
MuhammadYousaf 

1. Gross profit is defined as: a. Sales receipts less total costs of goods sold. b. Sales receipts less variable costs. c. Sales receipts plus total cost of goods sold. d. Sales receipts plus total

...
view 
MuhammadYousaf 

1. Companies often choose to hold ___________ to serve as buffers in case of uncertainties in demand or production. a. a minimum level of inventory b. a maximum level of inventory c. the number of

...
view 
MuhammadYousaf 

1. Manufacturers normally establish standard costs for a. direct materials. b. direct labor. c. factory overhead. d. All of these choices are correct. 2. Standards that can be attained with reason

...
view 
MuhammadYousaf 

1. In a centralized company, all major planning and operating decisions are made by a. employees. b. stockholders. c. top management. d. division managers. 2. All of the following are considered

...
view 
MuhammadYousaf 

1. The first stage of an activity-based costing system does not involve: a. Identifying activities and its attributes b. Identifying activity attributes c. Assigning costs d. Preparing activity dict

...
view 
ask an expert

Accounting tutors
genius_all_sunjects genius_all_sunjects
 
MuhammadYousaf MuhammadYousaf
 
expert-tutor expert-tutor
 
 
AccTutor AccTutor
 
 
Evangelist Evangelist
 
 
manali manali
 
 
rajdeep77 rajdeep77
 
 
mbaGrad mbaGrad
 
 
businesstutor businesstutor
 
 
swati4u swati4u
 
 
Scholaronline Scholaronline
 
 
johnalia johnalia