Solution-Determine the adjustment for bad debt expense

Determine the adjustment for bad debt expense

Assignment Help Accounting Basics

Reference no: EM131644921

Question - Presented below is an aging schedule for Lawrenz Company:

		Number of Days Past Due
Customer:	Not yet due:	1 ~ 30	31 ~ 60	61 ~ 90	Over 90	Total:
Akers		$9,000	$11,000			$20,000
Baietto	$30,000					$30,000
Comer	15,000	5,000		$30,000		$50,000
DeJong					$38,000	$38,000
Others	92,000	15,000	13,000		6,000	$126,000
	$137,000	$29,000	$24,000	$30,000	$44,000	$264,000
Estimated % Uncollectible	2%	5%	10%	24%	50%
Total Est. Bad Debts	?	?	?	?	?	?

At December 31, 2014, the unadjusted balance in Allowance for Doubtful Accounts is credit of $10,000.

Instructions:

(a) Complete the aging schedule above.

(b) Determine the adjustment for bad debt expense to the allowance account on 12/31/14.

Reference no: EM131644921

Questions Cloud

What are different ways of conflict resolution in business : What are the different ways of conflict resolution in business world? In your business experience have you observed major error as a result of false assumption?

What the economic future looks like for china or russia : Give one example of where China, the Soviet Union and the U.S. each lost a sustained military engagement during the Cold War.

Discuss the functions of the joint commission : Discuss the functions of the Joint Commission and Define the categories of accreditation and How does the NCQA impact health information systems

Example of perfect competition or monopoly : Select a real world market that is not an example of perfect competition or monopoly, discuss whether you think it is more appropriate to apply the model.

Determine the adjustment for bad debt expense : Presented below is an aging schedule for Lawrenz Company: Determine the adjustment for bad debt expense to the allowance account on 12/31/14

Determine how flyers using ted rate the airline service : United Airlines established a discount airline named Ted. The managers were interested in determining how flyers using Ted rate the airline service.

Explain why you placed each item in the selected category : Classify each spend category as either low or high complexity and summarize your reasoning. Explain why you placed each item in the selected category.

Discuss the role of the hitech act : Discuss the five major components of HIPAA's privacy rule. Discuss three HIPAA-covered entities - Discuss the role of the HITECH Act

What is the most likely cellular stressor and injury type : What is the most likely cellular stressor and injury type that may result from vascular insufficiency

User Account

All Pages

Determine the adjustment for bad debt expense

Reference no: EM131644921

Reference no: EM131644921

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT