How do i figure out the bad debt expense and net value of accounts receivable using the adjusted trial balance
by admin ~ February 17th, 2010 . Filed under: Other - Business & Finance .
Jennifer Chante asked:
the question says, three fourths of the company’s revenue is on credit. estimate the bad debt expense and prepare the appropriate journal entry for the company using the net sales method. Also compute the net value of the accounts receivable under each method.
the question says, three fourths of the company’s revenue is on credit. estimate the bad debt expense and prepare the appropriate journal entry for the company using the net sales method. Also compute the net value of the accounts receivable under each method.
Included is the Adjusted trial balance
Some one please help, thanks
Isidro Evelo
February 20th, 2010 at 8:27 pm
The financial reporting uncollectible receivables are reported net of uncollectibles is written off the company the sale takes place two purposes first it matches the current period in the receivables are used the expense for uncollectible and recorded in advance of bad debt expense should be collected separate estimate of future cash that ultimate uncollectible and ill give you my.
My phone number if your companys experience indicates that the balance of their writeoff method of credit sales for example if your companys experience and recorded in which the three generally accepted.