Accounting BECA Convenience Store LTD. Post-Closing Trial Balance December 31, 2020 Debit Credit Cash $20573 Accounts receivable 125188 Allowance for doubtful accounts $4998 Inventory 38901 Estimated inventory returns 1071 Prepaid insurance 13090 Equipment 202300 Accumulated depreciation 88655 Accounts payable 47600 Employee income tax payable 4760 CPP payable 8568 EI payable 4856 Refund liability 1850 Dividends payable 2618 Notes payable (due 2023) 142,800 Common shares 71400 Retained earnings 39,032 sales 119000 cost of goods sold 34748 salaries expense 47600 employee benefit expense 3507 bad debt expense 1428 rent expense 10710 insurance expense 1190 deprecation expense 1975 gain on disposal 2380 interest expense 476 income tax expense 4760 Prepare a statement of financial position at January 31, 2021

Accounting BECA Convenience Store LTD. Post-Closing Trial Balance December 31, 2020 Debit Credit Cash $20573 Accounts receivable 125188 Allowance for doubtful accounts $4998 Inventory 38901 Estimated inventory returns 1071 Prepaid insurance 13090 Equipment 202300 Accumulated depreciation 88655 Accounts payable 47600 Employee income tax payable 4760 CPP payable 8568 EI payable 4856 Refund liability 1850 Dividends payable 2618 Notes payable (due 2023) 142,800 Common shares 71400 Retained earnings 39,032 sales 119000 cost of goods sold 34748 salaries expense 47600 employee benefit expense 3507 bad debt expense 1428 rent expense 10710 insurance expense 1190 deprecation expense 1975 gain on disposal 2380 interest expense 476 income tax expense 4760 Prepare a statement of financial position at January 31, 2021

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter5: Sales And Receivables

Section: Chapter Questions

Problem 65E: Average Uncollectible Account Losses and Bad Debt Expense The accountant for Porile Company prepared...

See similar textbooks

Similar questions

Average Uncollectible Account Losses and Bad Debt Expense The accountant for Porile Company prepared the following data for sales and losses from uncollectible accounts: Required: 1. Calculate the average percentage of losses from uncollectible accounts for 2015 through 2018. 2. Assume that the credit sales for 2019 are $1,260,000 and that the weighted average percentage calculated in Requirement 1 is used as an estimate of loses from uncollectible accounts for 2019 credit sales. Determine the bad debt expense for 2019 using the percentage of credit sales method. 3. CONCEPTUAL CONNECTION Do you believe this estimate of bad debt expense is reasonable? 4. CONCEPTUAL CONNECTION How would you estimate 2019 bad debt expense if losses from uncollectible accounts for 2018 were What other action would management consider?
a. 8,200,000 b. 6,200,000 c. 2,000,000 d. 4,200,000 Problem 4-15 (AICPA Adapted) 81 molde Steven Company provided the following information during the first year of operations: 0913410000 Total merchandise purchases for the current year Merchandise inventory on December 31 Collections from customers bgodno ode All merchandise was marked to sell at 40% above cost. All Isales are on a credit basis and all accounts are collectible, What amount should be reported as accounts receivable on December 31? od ove arlo batable pore ab a. 1,000,000 b. 3,840,000 c. 5,000,000 d. 5,800,000 7,000,000 1,400,000 4,000,000 120 000 030 000,000 at amount was received b remittance in full? a. 2,744,000 b. 2,940,000 c. 2,944,000 d. 3,140,000 Problem 4-17 (PHILCPA A Germany Company started busines year. The entity established an all- estimated at 5% of credit sales. wrote off P50,000 of uncollectible Further analysis showed th amounted to P9,000,000 and e was P1,500,000. Goods were s The total sales…
Problem 5-20 (AICPA Adapted) Sky Company provided the following information at year-end: 2020 2019 Accounts receivable Allowance for doubtful accounts Allowance for sales returns 880,000 ( 10,000) ( 20,000) 800,000 ( 15,000) ( 25,000) Net realizable value 850,000 760,000 The entity reported doubtful accounts expense in 2020 of P30,000 and had products returned for credits totaling P15,000 at sale price. Gross sales for 2020 amounted to P6,150,000. 4. What anmount was reported as net sales for 2020? a. 6,150,000 b. 6,140,000 c. 6,100,000 d. 6,135,000
OkyOTcw/a/MjUwNDEyNDM20TEx/details Particulars Credit (RM) 48,400 Debit (RM) Capital Drawings Trade receivables Trade payables Sales Purchases Sales returns Purchases retums Wages and salaries Discounts allowed Discounts received Provision for doubtful debts Insurance Inventory as at 1 September 2018 Utilities 3,500 9,000 12,500 40,400 31,000 300 250 5,600 120 200 300 700 2,400 950 350 10,000 3,000 20,000 Rates Premises Fixtures and fittings Motor van Cash in hand Cash at bank TOTAL 330 14,800 102.050 102.050 Additional information as at 31 August 2019: i. Inventory as at 31 August 2019 amounted RM3,300 ii. An entity from whom there is accounts receivables of RM200 was unable to settle his debt and this amount is to be written off as bad debts. iii. The provision for doubtful debts is 1% of the outstanding trade receivables. iv. The owner took RM100 worth of goods from the business for his own use Required: a) Statement of Profit or Loss and Others Comprehensive Income for the year…
Prepare the correct Creditors Control account for May 2020 after taking into account the additional information, errors and omissions. Balance the account Balance b/d June R112 000 Additional information, errors and omissions1. The debit balance in the account of a creditor, R300, must be transferred to the Debtors ledger.2. An invoice for goods purchased from Super Suppliers was entered in the Purchases journal as R6 400 instead of R4 600.3. A credit purchase of equipment from Minto Enterprises was not recorded, R5 000.4. A credit note received from HD Wholesalers for trading goods returned was not recorded in the Purchases Returns Journal, R1 000.5. Stardom Traders, a creditor, charged Oyster Traders interest on overdue account, R50
A balance sheet extract of Kahwati Ltd. reported as at 30 June, 2020; Accounts Receivable $981 485 Allowance for Doubtful Debts (18 950) The company recorded the following for the year ending 30 June, 2021: Credit sales income totalling, $1 638 000 Credit sales returns totalling, $21 360 Accounts receivable collections, $1 893 000 Accounts receivable written off – uncollectable $17 695 Based on ageing of accounts receivable analysis undertaken at the end of June, 2021 the company decided that the Allowance for Doubtful Debts account should have a credit balance of $21 250 on the Balance Sheet at June 30, 2021
"A Sticky Patch: Completing the Accounting Cycle for ROYAL JELLY TRADING" ROYAL JELLY TRADING, which follows GAAP and uses the periodic inventory system, is a merchandising business that buys and sells various kinds of jelly candies. Its trial balance as of fiscal year-end September 30, 2020, before any adjustments, can be found on the next page: Information for adjusting entries are as follows: 1. Interest has accrued on the customer's P20,000 60-day 12% note dated August 21, 2020 and this remained unrecorded as of year-end. 2. Rent for the month of September amounting to P15,000 has not been received as at year-end. 3. The company pays its employees their salaries every Friday for work done Monday to Friday of that week. Weekly pay is P10,000 for office salaries and P15,000 for store salaries. September 30, 2020 falls on a Wednesday. 4. At year-end, unused office supplies were P18,000, while unused store supplies amounted to P12,000. 5. One-fourth of the Prepaid Insurance Expense…
LMN company provided information of their financial records on December 31, 2026 A/R, Jan 2026-2,500,000 Collections of A/R net of 10% discount-5,400,000 Allowance of bad debts expense, Jan 2026- 37,500 Inventory, Jan 1-2,880,000 Inventory, Dec 31-2,640,000 A/P, Jan 1 -1,000,000 A/P, Dec 31-1,500,000 Cash Sales-1,700,000 Purchases-4,800,000 Gross Profit on Sales-2,160,000 The management used the percentage of A/R method in estimating bad debts. If the same technique is used for the current rent, how much is the bad debts expense for the year assuming the company wrote off 15,000 A/R during the year and recovered 3,450. The allowance for bad debts expense as of the year ended 2026 is?
Existence of Accounts ReceivableTo substantiate the existence of the accounts receivable balances as at December 31, 2020 of Guipetacio Company, you have decided to send confirmation requests to customers. Below is a summary of the confirmation replies together with the exceptions and audit findings. Gross profit on sales is 20%. The company is under the perpetual inventory method. Customer Balances per Books (in PHP) Comments from customers Audit Findings Abejo 50,000 P30,000 on January 2,2021. Correct balance is20,000. Returned goods receivedJanuary 5, 2021. Pacturan 10,000 Your credit memorepresenting priceadjustment datedDecember 29. 2020cancels this. The credit memo wastaken up by Pacturan in2021 Badilla 48,000 You have overpriced usby P50. Correct priceshould be P100. The complaint is valid. Villaranda 37,500 We received the goodsonly on January 5, 2021. Term is shipping pointshipped in 2020. Dacer 45,000 Balance was offset by ourDecember shipment ofyour raw…
Existence of Accounts ReceivableTo substantiate the existence of the accounts receivable balances as at December 31, 2020 of Guipetacio Company, you have decided to send confirmation requests to customers. Below is a summary of the confirmation replies together with the exceptions and audit findings. Gross profit on sales is 20%. The company is under the perpetual inventory method. Customer Balances per Books (in PHP) Comments from customers Audit Findings Abejo 50,000 P30,000 on January 2,2021. Correct balance is20,000. Returned goods receivedJanuary 5, 2021. Pacturan 10,000 Your credit memorepresenting priceadjustment datedDecember 29. 2020cancels this. The credit memo wastaken up by Pacturan in2021 Badilla 48,000 You have overpriced usby P50. Correct priceshould be P100. The complaint is valid. Villaranda 37,500 We received the goodsonly on January 5, 2021. Term is shipping pointshipped in 2020. Dacer 45,000 Balance was offset by ourDecember shipment ofyour raw…
Existence of Accounts ReceivableTo substantiate the existence of the accounts receivable balances as at December 31, 2020 of Guipetacio Company, you have decided to send confirmation requests to customers. Below is a summary of the confirmation replies together with the exceptions and audit findings. Gross profit on sales is 20%. The company is under the perpetual inventory method. Customer Balances per Books (in PHP) Comments from customers Audit Findings Abejo 50,000 P30,000 on January 2,2021. Correct balance is20,000. Returned goods receivedJanuary 5, 2021. Pacturan 10,000 Your credit memorepresenting priceadjustment datedDecember 29. 2020cancels this. The credit memo wastaken up by Pacturan in2021 Badilla 48,000 You have overpriced usby P50. Correct priceshould be P100. The complaint is valid. Villaranda 37,500 We received the goodsonly on January 5, 2021. Term is shipping pointshipped in 2020. Dacer 45,000 Balance was offset by ourDecember shipment ofyour raw…
Existence of Accounts ReceivableTo substantiate the existence of the accounts receivable balances as at December 31, 2020 of Guipetacio Company, you have decided to send confirmation requests to customers. Below is a summary of the confirmation replies together with the exceptions and audit findings. Gross profit on sales is 20%. The company is under the perpetual inventory method. Customer Balances per Books (in PHP) Comments from customers Audit Findings Abejo 50,000 P30,000 on January 2,2021. Correct balance is20,000. Returned goods receivedJanuary 5, 2021. Pacturan 10,000 Your credit memorepresenting priceadjustment datedDecember 29. 2020cancels this. The credit memo wastaken up by Pacturan in2021 Badilla 48,000 You have overpriced usby P50. Correct priceshould be P100. The complaint is valid. Villaranda 37,500 We received the goodsonly on January 5, 2021. Term is shipping pointshipped in 2020. Dacer 45,000 Balance was offset by ourDecember shipment ofyour raw…

SEE MORE QUESTIONS

Recommended textbooks for you

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS

GET THE APP

About FAQ Academic Integrity Sitemap Document Sitemap

Contact Bartleby Contact Research (Essays)High School Textbooks Literature Guides Concept Explainers by Subject Essay Help Mobile App

GET THE APP

Privacy

Your CA Privacy Rights

Your NV Privacy Rights

About Ads

Manage My Data

bartleby, a Learneo, Inc. business

BECA Convenience Store LTD. Post-Closing Trial Balance December 31, 2020
	Debit	Credit
Cash	$20573
Accounts receivable	125188
Allowance for doubtful accounts		$4998
Inventory	38901
Estimated inventory returns	1071
Prepaid insurance	13090
Equipment	202300
Accumulated depreciation		88655
Accounts payable		47600
Employee income tax payable		4760
CPP payable		8568
EI payable		4856
Refund liability		1850
Dividends payable		2618
Notes payable (due 2023)		142,800
Common shares		71400
Retained earnings		39,032
sales		119000