Solution-If the company uses the direct write off method

If the company uses the direct write off method

Assignment Help Accounting Basics

Reference no: EM131001535

Johnson Company uses the allowance method to account for uncollectible accounts receivable. Bad debt expense is established as a percentage of credit sales. For 2011, net credit sales totaled $4,500,000, and the estimated bad debt percentage is 1.5%. The allowance for uncollectible accounts had a credit balance of $42,000 at the beginning of 2011 and $40,000, after adjusting entries, at the end of 2011.

Required:

1. What is bad debt expense for 2011?

2. Determine the amount of accounts receivable written off during 2011.

3. If the company uses the direct write-off method, what would bad debt expense be for 2011?

Reference no: EM131001535

Questions Cloud

Imagine you are a state police officer in your home state : Determine how and in what situations you would refer to the DHS and other law enforcement and intelligence agencies. Support your explanation.

Computed sample data set : From this data set, obtain the corresponding values for Y de?ned as the product Y = X1 X2 . According to the result stated and proved in (i), what is the theoretical distribution of Y? Con?rm that the computed sample data set for Y agrees with this p..

Identify the selected health care service provider : Include the following in your paper: Identify the selected health care service provider. Identify two services and products they provide to help with quality of care

A popular movie representing cultural variation : Find a clip in a popular movie representing cultural variation in parenting practices. Write a short essay about the clip you found, and how it illustrates one or more of the following: Authority roles; communication; rules for the display of emotio..

If the company uses the direct write off method : If the company uses the direct write-off method, what would bad debt expense be for 2011?

Find the speed of the millennium eagle at point a : As part of a daring rescue attempt, the Millennium Eagle coasts between a pair of twin asteroids, as shown in the figure below where d1 = 3.05 km and d2 = 1.53 km. The mass of the spaceship is 2.51 x107 kg and the mass of each asteroid is3.60 x 10..

Logarithmic transformation of the data : Test the validity of these statements indirectly by taking a logarithmic transformation of the data, and carrying out an appropriate analysis of the resulting log-transformed data. Compare the results with those obtained in (i).

Leaders are very good at communicating thoughts : Frequently, leaders are very good at communicating their thoughts. These leaders can be very charismatic as they relay messages to others very clearly. However, there are two sides to communication, and sometimes, good leaders have difficulty activel..

Postulated model appropriately : The following data is postulated to have been sampled from an exponential E (4) population. Validate the postulated model appropriately. Repeat the validation exercise as if the population parameter was unknown and hence must be estimated from the..

User Account

All Pages

If the company uses the direct write off method

Reference no: EM131001535

Reference no: EM131001535

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