Question :
33.Under the Allowance Method of accounting for uncollectible accounts, a : 1168987
33.Under the Allowance Method of accounting for uncollectible accounts, a firm should base their estimate of uncollectible accounts on all of the following EXCEPT:
A. net credit sales for the year
B. total current assets as of the end of the year
C. total accounts receivable at the end of the year
D. aging of accounts receivable at the end of the year
34.A firm reported sales of $300,000 during the year. Prior to adjustment, Allowance for Doubtful Accounts has a debit balance of $100. Based on an aging of accounts receivable, the firm estimated its losses from uncollectible accounts to be $3,150. The entry to record the estimated bad debt losses will be:
A.
B.
C.
D.
35.A firm reported sales of $500,000 during the year. Prior to adjustment, Allowance for Doubtful Accounts has a credit balance of $100. Based on an aging of accounts receivable, the firm estimated its losses from uncollectible accounts to be $5,200. The adjusting entry to record the estimated bad debt losses will be:
A.
B.
C.
D.
36.A firm reported net credit sales of $225,000 during the year and has a balance of $20,000 in its Accounts Receivable account at year-end. Prior to adjustments, Allowance for Doubtful Accounts has a debit balance of $100. The firm estimates its losses from uncollectible accounts to be one-half of 1 percent of net credit sales. The entry to record the estimated losses from uncollectible accounts will include a credit to Allowance for Doubtful Accounts for
A. $1,225.
B. $1,125.
C. $900.
D. $2,250.
37.A firm reported net credit sales of $450,000 during the year and has a balance of $40,000 in its Accounts Receivable account at year-end. Prior to adjustments, Allowance for Doubtful Accounts has a debit balance of $200. The firm estimates its losses from uncollectible accounts to be one-half of 1 percent of net credit sales. The entry to record the estimated losses from uncollectible accounts will include a credit to Allowance for Doubtful Accounts for
A. $4,500.
B. $2,450.
C. $2,250.
D. $1,800.
38.On December 31, prior to adjustment, Allowance for Doubtful Accounts has a credit balance of $200. An aging Analyze of the accounts receivable produces an estimate of $1,000 of probable losses from uncollectible accounts. The adjusting entry needed to record the estimated losses from uncollectible accounts is made for
A. $200.
B. $800.
C. $1,000.
D. $1,200.
39.On December 31, prior to adjustment, Allowance for Doubtful Accounts has a credit balance of $400. An aging analysis of the accounts receivable produces an estimate of $2,000 of probable losses from uncollectible accounts. The adjusting entry needed to record the estimated losses from uncollectible accounts is made for
A. $400.
B. $1,600.
C. $2,000.
D. $2,400.
40.On December 31, prior to adjustment, Allowance for Doubtful Accounts has a debit balance of $400. An aging of the accounts receivable produces an estimate of $2,600 of probable losses from uncollectible accounts. The adjusting entry needed to record the estimated losses from uncollectible accounts is made for
A. $2,200.
B. $2,600.
C. $3,000.
D. $400.
41.On December 31, prior to adjustment, Allowance for Doubtful Accounts has a debit balance of $800. An aging of the accounts receivable produces an estimate of $5,200 of probable losses from uncollectible accounts. The adjusting entry needed to record the estimated losses from uncollectible accounts is made for
A. $800.
B. $4,400.
C. $5,200.
D. $6,000.
42.On December 31, prior to adjustments, the balance of Accounts Receivable is $16,000 and Allowance for Doubtful Accounts has a credit balance of $95. The firm estimates its losses from uncollectible accounts to be 5% of accounts receivable at the end of the year. The adjusting entry needed to record the estimated losses from uncollectible accounts is made for
A. $705.
B. $800.
C. $895.
D. $95.
