Recording bad debts, At the end of 2007 Aramis Company has

Recording bad debts

Reference no: EM1355189

Question: At the end of 2007 Aramis Company has accounts receivable of $800,000 and an allowance for doubtful accounts of $40,000. On January 16, 2008, Aramis Company determined that its receivable from Ramirez Company of $6,000 will not be collected, and management authorized its write-off.

Questions:

a) Prepare the journal entry for Aramis Company to write off the Ramirez receivable.

b) What is the net realizable value of Aramis Company's accounts receivable before the write-off of the Ramirez receivable?

c) What is the net realizable value of Aramis Company's accounts receivable after the write-off of the Ramirez receivable?

Reference no: EM1355189

Questions Cloud

Find the drift speed of the electrons in the wire : A railroad car of mass 40900 kg moving at 3.35m/s collides and couples with two railroad cars,each of the same mass as the single car and moving in the same direction at 1.53m/s. what is the speed of three cars after the collision.

Describe the pros and cons of self-managed : Describe the pros and cons of self-managed and virtual teams and show projects that would benefit from the use of these two types of teams.

Design time randomized monte carlo algorithm : You have to design an O(n) time randomized Monte Carlo algorithm which computes an (1 + o)- approximate ham-sandwich cut with probability 1 - n-c for any given constant c > 0.

Journal of environmental psychology : types of validity presented and the critical differences among them, the author's performance in explaining them, and how to assess the study's validity and the information required to do so with the article.

Recording bad debts : At the end of 2007 Aramis Company has accounts receivable of $800,000 and an allowance for doubtful accounts of $40,000. On January 16, 2008, Aramis Company determined that its receivable from Ramirez Company of $6,000 will not be collected, and m..

Organizational learning and knowledge management : explain the relationship between organizational learning and organizational knowledge and the affect of knowledge management

Explain and analyze the import challenges developing : Explain and Analyze the import challenges developing internal procedures or effective strategy for the release of goods seized for trademark or copyright infringement

Calculate the enterprise market value : General Mills, Corporation, the large manufacturer of packaged foods, reported the following in its annual report for year ending May 25, 2008;

What is the size of the impulse exerted by the mitt on ball : A man drops a baseball off of the top of the Empire State Building. If an action force is the pull of the Earth on the ball, then what is the reaction force.

User Account

All Pages