Business, 31.03.2020 00:28 AmaiyahHarrison6356

Oakley Company estimates uncollectible accounts using the allowance method at December 31. It prepared the following aging of receivables analysis.

Days Past Due
Total 0 1 to 30 31 to 60 61 to 90 Over 90
Accounts receivable $570,000 $396,00 $90,000 $36,000 $18,000 $30,000
Percent uncollectible 1% 2% 5% 7% 10%

A) On February 1 of the next period, the company determined that $6,800 in customer accounts was uncollectible; specifically, $900 for Oakley Co. and $5,900 for Brookes Co. Prepare the journal entry to write off those two accounts.
B) On June 5 of that next period, the company unexpectedly received a $900 payment on a customer account, Oakley Company, that had previously been written off in part a.
Required:
Prepare the entries necessary to reinstate the account and to record the cash received.

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 20:40

On december 31, 2011, daggett company issued $750,000 of ten-year, 9% bonds payable for $700,353, yielding an effective interest rate of 10%. interest is payable semiannually on june 30 and december 31. prepare journal entries to reflect (a) the issuance of the bonds, (b) the semiannual interest payment and discount amortization (effective interest method) on june 30, 2012, and (c) the semiannual interest payment and discount amortization on december 31, 2012. round amounts to the nearest dollar.

Answers: 2

Answer

Business, 21.06.2019 23:30

Martha is the head of the accounts department in a small manufacturing company. the company follows the accrual-basis method of accounting. it recently purchased raw materials worth $5,000 from its vendors. however, the company paid only $3,000 to its vendors. it plans to pay the remaining amount after three months. considering this information, which entry should martha record in the company’s accounts? a. $5,000 as accounts receivable b. $3,000 as accounts payable c. $2,000 as accounts payable d. $2,000 as accounts receivable

Answers: 3

Answer

Business, 22.06.2019 04:00

Match the type of agreements to their descriptions. will trust living will prenuptial agreement

Answers: 2

Answer

Business, 22.06.2019 09:00

Asap describe three different expenses associated with restaurants. choose one of these expenses, and discuss how a manager could handle this expense.

Answers: 1

Answer

You know the right answer?

Oakley Company estimates uncollectible accounts using the allowance method at December 31. It prepar...

Questions