Calculate the percentage expected to be uncollectible

Assignment Help Accounting Basics
Reference no: EM132476874

Question - At January 1, 2019, ABC Company reported an allowance for doubtful accounts with a $3,500 credit balance. During 2019, ABC Company did not write-off any accounts receivable as uncollectible; however, ABC did record recoveries of previously written-off accounts receivable totaling $1,000. ABC Company prepared the following aging schedule at December 31, 2019:

 

Accounts Receivable

% Uncollectible

Not past due

$103,600

2%

1-30 days past due

31,600

6%

31-60 days past due

?

8%

61-90 days past due

23,400

?

Over 90 days past due

2,800

45%

Based on the above information, ABC Company estimated its bad debt expense to be $5,800 for 2019. It is known that the net realizable value of ABC Company's accounts receivable at December 31, 2019 amounted to $153,075.

Required - Calculate the percentage expected to be uncollectible for the accounts receivable that were 61-90 days past due.

Reference no: EM132476874

Questions Cloud

Current level of the federal budget deficit : Discuss the current level of the Federal budget deficit and the implications of the deficit. Support a proposal for addressing these concerns.
How will the supply curve and demand curve shift : How will the supply curve and demand curve shift if the government raises personal income taxes, without considering the change in consumer saving?
How will the supply curve and demand curve shift : How will the supply curve and demand curve shift if business investors become more optimistic about the economy.
What is the cost of common stock : The risk-free rate is 5.7%, the market risk premium is 9.2%, and the stock's beta is 1.53. What is the cost of common stock? Use the CAPM Equation
Calculate the percentage expected to be uncollectible : ABC Company estimated its bad debt expense to be $5,800 for 2019. Calculate the percentage expected to be uncollectible for the accounts receivable
How did us prices changes in july : How did U.S. prices changes in July? How did household incomes change in July? Given this information
Autonomous consumption and marginal propensity to consume : Plot Mary's consumption function. What is her autonomous consumption and marginal propensity to consume?
What is the entry to apply overhead : If direct labor for the month is $80,000 and overhead is applied based on 75% of direct labor dollars, what is the entry to apply overhead?
How will the supply curve and demand curve shift : How will the supply curve and demand curve shift if the government borrows money to fund a war?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd