Before any year-end adjustments were made, the profit of Pedro Co. was P2,000,000. However, the following adjustments were necessary; office supplies used, P30,000; services performed for clients but not yet collected, P65,000; interest accrued on note payable, P15,000. After recording these adjustments, the profit would be?

Before any year-end adjustments were made, the profit of Pedro Co. was P2,000,000. However, the following adjustments were necessary; office supplies used, P30,000; services performed for clients but not yet collected, P65,000; interest accrued on note payable, P15,000. After recording these adjustments, the profit would be?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter22: Accounting For Changes And Errors.

Section: Chapter Questions

Problem 6RE: Suppose that Blake Companys total pretax difference from a change to FIFO was 100,000 and the...

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Suppose that Blake Companys total pretax difference from a change to FIFO was 100,000 and the company pays a bonus of 5% of its income before income taxes and bonus to employees. If Blake pays an additional bonus | based on the change in income, would it recognize any expense? If so, when and how much?
The company had sales of $100,000 for the calendrer period 2021. The allowance for doubtful accounts total at the beginning of the year was $1500. $ 1800 of accounts receivable were written off during the year as uncollectible. Assuming the company estimates the allowance for bad debts to be 2% of sales, what is the year end adjusting entry? Would your answer be different if the company utilized the direct write off method? If so, how?
Suppose the balance in the Allowance for Doubtful Accounts at the end of year is a $400 Debit balance before adjustment. The company estimates future uncollectible accounts to be $3,200. At what amount would Bad Debt Expense be reported in the current year's income statement? A. $400 B. $2,800 C. $3,600 D. $3,200
The Soft Company has provided the following information after year-end adjustments. Allowance for doubtful accounts was $11,000 at the beginning of the year and $30,000 at the end of the year. Accounts receivable were $80,000 at the beginning of the year and $420,000 at the end of the year. Accounts written off as uncollectible totaled $20,000. Net sales totaled $2,700,000. Sales discounts were $100,000 What was the amount of Soft's bad debt expense for the year?
At the end of the year, Bertha Enterprises estimates the uncollectible accounts expense to be 0.7 percent of net sales of $15,150,000. The current credit balance of Allowance for Uncollectible Accounts is $25,800. 1.Prepare the entry to record the uncollectible accounts expense. 2. what is the balance of the allowance for uncollectible accounts after this adjustment.
Ruiz Company's Accounts Receivable balance at December 31 was $150,000 and there was a balance of $700 in the Allowance for Uncollectible Accounts. Sales for the year were $900,000. The firm estimates credit losses for the year at 1.5% of sales. After the appropriate adjusting entry is made for credit losses, what is the net amount of accounts receivable included in the current assets at year-end? Select one: a. $150,000 b. $135,800 c. $162,700 d. $138,700 e. None of the above
At the end of the current year, Accounts Receivable has a balance of $750,000; Allowance for Doubtful Accounts has a debit balance of $6,200; and sales for the year total $3,500,000. Bad debt expense is estimated at ½ of 1% of sales. a. Determine the amount of the adjusting entry for bad debt expense.$ b. Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense. Adjusted Balance Accounts Receivable $ Allowance for Doubtful Accounts Bad Debt Expense c. Determine the net realizable value of accounts receivable.$
A trial balance before adjustments included the following: Sales - ₱425,000; sales returns and allowances - ₱14,000; accounts receivable - ₱43,000; Allowance for doubtful accounts -₱760. If the estimate of uncollectible is made by taking 2% of net sales, the amount of bad debts expense for the year is:
At the end of the current year, the accounts receivable account has a debit balance of $1,835,000 and sales for the year total $25,690,000. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the following assumptions: The allowance account before adjustment has a debit balance of $12,500. Bad debt expense is estimated at ; of 1% of sales. The allowance account before adjustment has a debit balance of $12,500. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $162,000. The allowance account before adjustment has a credit balance of $26,810. Bad debt expense is estimated at ; of 1% of sales. The allowance account before adjustment has a credit balance of $26,810. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $171,200.
At the end of the year, Accounts Receivable has a balance of $5,345,000; Allowance for Doubtful Accounts has a credit balance of $75,300; and sales for the year total $42,600,000. Using the aging method to account for uncollectible accounts, the balance of the Allowance for Doubtful Accounts is estimated as $135,000. What is the amount of the adjusting entry for bad debt expense?
Bluebird, Inc. had net sales (all on account) in 2020 of$600,000. At December 31,2020 , before adjusting entries, the balances in selected accounts were: accounts receivable$75,000debit and allowance for doubtful accounts$1,500debit. Bluebird estimates that3%of its net sales will prove to be uncollectible. What is the net realizable value of the receivables reported on the financial statements at December 31,2020 ?
At the end of the current year, the accounts receivable account has a debit balance of $6,800,000 and sales for the year total $81,500,000. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the following assumptions:a. The allowance account before adjustment has a debit balance of $68,250. Bad debt expense is estimated at ¾ of 1% of sales.b. The allowance account before adjustment has a debit balance of $68,250. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $575,000.c. The allowance account before adjustment has a credit balance of $45,000. Bad debt expense is estimated at ½ of 1% of sales.d. The allowance account before adjustment has a credit balance of $45,000. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $450,000.