Solution-What is the amount that chiller will enter

What is the amount that chiller will enter

Assignment Help Accounting Basics

Reference no: EM131716385

Question - Chiller Company has credit sales of $5.60 million for year 2013. Chiller estimates that l 32% of the credit sales will not be collected. Historically, 4% of outstanding accounts receivable is uncollectible. On December 31, 2013, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $3,561. Chiller prepares a schedule of its December 31, 2013, accounts receivable by age. Based on past experience, it estimates the percent of receivables in each age category that will become uncollectible. This information is summarized here:

December 31, 2013 Accounts Receivable	Age of Accounts Receivable	Expected Percent Uncollectible
$1,095,000	Not yet due	0.85%
322,500	1 to 30 days past due	1.42
84,700	31 to 60 days past due	7.60
50,420	61 to 90 days past due	42.50
12,500	Over 90 days past due	81.00

Assuming the company uses the aging of accounts receivable method, what is the amount that Chiller will enter as the Bad Debt Expense in the December 31 adjusting journal entry?

Reference no: EM131716385

Questions Cloud

Activity students will create oral research proposal : In this activity students will create an oral research proposal. A proposal is a formulated plan to suggest a way to solve a problem or address a situation.

Discuss a distinctive understanding of psychology : Describe whether each perspective adopts the goal of christians in psychology pursuing a distinctive understanding of psychology

Appropriate retail mix at each stage of retail life cycle : What is the appropriate retail mix at each stage of the retail life cycle? Give an example of a store at each stage and demonstrate their retail mix.

Explaining what social movements are : Explaining what social movements are, who joins them and how membership is sustained, how movements are organized, and what they do

What is the amount that chiller will enter : Assuming the company uses the aging of accounts receivable method, what is the amount that Chiller will enter as the Bad Debt Expense in the December 31

Discuss goals that motivate people to be prejudiced : Describes four goals that motivate people to be prejudiced. Provide at least one (1) original example of a prejudice behavior

Discuss what is the social impact of homosexuality : What is the social impact of homosexuality. What specific measures are being taken to achieve prevention or punishment after the fact

Describe how the provisions of the fair labor standards act : Describe how the provisions of the Fair Labor Standards Act impact the day-to-day operations of an organization.

Briefly describe the experimental procedure : Describe at least three pieces of advice that you would give to the couple

User Account

All Pages

What is the amount that chiller will enter

Reference no: EM131716385

Reference no: EM131716385

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