Reference no: EM13136767
At December 31,2011, Ethan Company reports the following results for its calendar year.
Cash sales- $1,803,750
Credit Sales- $3,534,000
In addition, its unadjusted trial balance includes the following items.
Accounts receivable- $1,070,100 debit
Allowance for doubtful accounts- $ 15,750 debit
Required
1. Prepare the adjusting entry for this company to recognize bad debts under each of the following independent assumptions.
a. Bad debts are estimated to be 2% of credit sales.
b. Bad debts are estimated to be 1% of total sales.
c. An aging analysis estimates that 5% of year-end accounts receivable are uncollectible.
2. Show how Accounts Receivable and the Allowance for Doubtful Accounts apprear on its December 31, 2011, balance sheet given the facts in part 1a.
3. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31, 2011, balance sheet given the facts in part 1c.
|
Describe the steps to program development
: What is the function of parseFloat and parseInt and what will be result if we send "abcd" through a prompt() input and pass it through parseInt()?
|
|
Appropriate use of formatting
: Little or no attempt to make appropriate use of formatting, spacing, paragraphs, Tables and diagrams, to address writing style, grammar and spelling.
|
|
Determine the appropriate required return on this capital
: China is a manufacturing superpower. Assume that you are CFO of an automobile manufacturer looking to build a $U.S.800 million plant in China. You are discussing this project with your spouse, who is intelligent, but has no background in finance.
|
|
Select a specific example of life in ancient greece
: Discussion 2: Greek Legacy Select a specific example of life in Ancient Greece or the Hellenic world that you believe shows a clear break from the cultures we studied in the last two weeks
|
|
Prepare adjusting entry for company to recognize bad debts
: Prepare adjusting entry for this company to recognize bad debts under each of the following independent asumptions. Bad debts are estimated to be 2% of credit sales.
|
|
Is number of units produced on the night shift larger
: A sample of 60 night-shift workers showed that the mean number of units produced was 351. At the .05 significance level, is the number of units produced on the night shift larger?
|
|
How are equivalent units of production, unit costs
: How are equivalent units of production, unit costs, and inventory values determined using the standard costing method of process costing?
|
|
Problem relate to intermediate markets
: Market conditions are such that sales made internally or externally will not affect market or transfer prices. Intermediate markets will always be available for Bayside, Cole, and Diamond to purchase their manufacturing needs or sell their product..
|
|
How many moles of oxygen were in the sample
: An unknown compound contains only carbon, hydrogen, and oxygen. Combustion of 4.00 g of this compound produced 5.87 g of carbon dioxide and 2.40 g of water.
|