Marvelous Company

Doubtful Accounts 75,000.00

Allowance for doubtful account 75,000.00
Doubtful Accounts 50,000.00
Allowance for doubtful account 50,000.00
Doubtful Accounts 60,000.00
Allowance for doubtful account 60,000.00
Doubtful Accounts 30,000.00
Allowance for doubtful account 30,000.00

Template Company
Accounts Receivable 7,000,000.00
Sales 7,000,000.00

Cash 2,450,000.00
Sales Discount 50,000.00
Accounts Receivable 2,500,000.00

Cash 3,900,000.00
Accounts Receivable 3,900,000.00

Allowance for Doubtful Accounts 30,000.00

Accounts Receivable 30,000.00

Accounts Receivable 10,000.00

Allowance for Doubtful Accounts 10,000.00

Cash 10,000.00
Accounts Receivable 10,000.00

Sales Return 70,000.00

Accounts Receivable 70,000.00

Jocose Company
Cash 800,000.00
Accounts Receivable 7,200,000.00
Sales 8,000,000.00

Cash 684,000.00
Sales Discount 36,000.00
 Accounts Receivable 720,000.00

Cash 5,940,000.00
Accounts Receivable 5,940,000.00

Sales Discount 10,000.00

Allowance for Sales Discount 10,000.00

Sales Return 80,000.00

Accounts Receivable 80,000.00

Allowance for doubtful accounts 60,000.00

Accounts Receivable 60,000.00

Accounts Receivable 10,000.00

Allowance for doubtful accounts 10,000.00

Cash 10,000.00
Accounts Receivable 10,000.00

Doubtful Accounts 70,000.00

Allowance for Doubtful Accounts 70,000.00

Accounts Receivable 2,400,000.00

Allowance for doubtful Accounts (120,000.00)
Allowance for Sales Discount (10,000.00)
Net Realizable value 2,270,000.00

Relentless Company
Accounts Receivable 2,600,000.00
Sales 2,600,000.00

Cash 1,000,000.00
Accounts Receivable 1,000,000.00

Cash 1,455,000.00
Sales Discount 45,000.00
Accounts Receivable 1,500,000.00
Allowance for Doubtful Accounts 20,000.00
Accounts Receivable 20,000.00

Cash 470,000.00
Sales 470,000.00

Sales Return and Allowances 55,000.00

Accounts Receivable 55,000.00

Sales Return and Allowances 10,000.00

Cash 10,000.00

Accounts Receivable 5,000.00

Allowance for Doubtful Accounts 5,000.00

Cash 5,000.00
Accounts Receivable 5,000.00

Doubtful Accounts Expense 50,000.00

Allowance for Doubtful Accounts 50,000.00

Accounts Receivable 670,000.00

Allowance for Doubtful Accounts
ous Company
3,750,000 x 2% Credit Sales x %

5,000,000 x 1% Gross Sales x %

Req. Allowance -
80,000 - 20,000
Credit balance of allowance
AR x % - Credit Balance
[(500,000 x 10%) - 20,000]
of Allowance

ate Company
Allowance for Dountful Accounts, End 60,000.00
(40,000/1,500,000) {da/ar)
Less: Allowance before adjustment (20,000.00)
Doubtful Accounts Expense 40,000.00

Accounts Receivable 1,500,000.00

Less: Allowance for doubtful accounts (60,000.00)
Net realizable value 1,440,000.00

se Company
 100,000/2,000,000 0.05

Required Allowance 120,000.00

(5% x 2,400,000)
Allowance before adjustment (50,000.00)
Doubtful Accounts 70,000.00

ess Company

1,455,000/97%
Credit Sale 2,600,000.00
Less: Sales Discount (45,000.00)
Sales return (55,000.00)
Net Credit Sales 2,500,000.00

Doubtful Accounts 2,500,000 x 2%

Ar
600,000.00 2,455,000.00
2,600,000.00 20,000.00
3,200,000.00 55,000.00
670,000.00 2,530,000.00
 Nostalgia Company
Accounts Receivable 7,935,000.00
Sales

Cash 4,410,000.00
Sales Discount 90,000.00
Accounts Receivable

Cash 2,475,000.00
Sales Discount 25,000.00
Accounts Receivable

Accounts Receivable 15,000.00

Allowance for Doubtful Accounts

Cash 15,000.00
Accounts Receivable

Cash 1,100,000.00
Accounts Receivable

Allowance for Doubtful Accounts 55,000.00

Accounts Receivable

Sales Return 30,000.00

Accounts Receivable

Doubtful Accounts Expense 30,000.00

Allowance for Doubtful Accounts

Accounts Receivable 1,733,000.00

Less: Allowance for Doubtful Accounts (277,000.00)
Net realizable value 1,456,000.00

ada
5,000.00
118,256.00
57,256.00 123,256.00

Accounts Receivable
2,400,000.00
940,000.00
2,000,000.00
5,340,000.00

1,733,000.00
 7,935,000.00

4,500,000.00

2,500,000.00

15,000.00

15,000.00

(8,000,000 - 4,410,000 - 2,475,000- 15,000)

1,100,000.00

55,000.00

30,000.00

4% (60,000/1,500,000)
30,000.00 Required Allowance 83,500.00
(1,250,000 x 4%)
Allowance Before Adjustment
Doubtful Account 83,500.00

229,000.00
ada 1,451,200
52,000.00 327,400.00
14,000.00 131,000.00
66,000.00 72,350.00
268,500.00
Accounts Receivable 2,479,450.00
100,000.00
940,000.00
2,300,000.00
267,000.00
3,607,000.00
 Rampant Company
1. Amount % of uncollectible
Not yet due 1,700,000.00 -
1-30 days past due 1,200,000.00 5%
31-60 days past due 100,000.00 25%
61-90 days past due 150,000.00 50%
Over 90 days past due 120,000.00 100%
3,270,000.00

2.
Allowance for Doubtful Accounts, Beg 170,000.00
Add: Recoveries of Account Writtten off 30,000.00
Doubtful Accounts Expense 345,000.00
Total 545,000.00
Less: Writeoff 265,000.00
Required Allowance, End 280,000.00

3.
Doubtful Accounts Expense 345,000.00
Allowance for Doubtful Accounts 345,000.00

4.
Accounts Receivable 3,270,000.00
Less: Allowance for doubtful accounts (280,000.00)
Net realizablle value 2,990,000.00
Required Allowance
-
60,000.00
25,000.00
75,000.00
120,000.00
280,000.00

(30,000 + 235,000)
Savvy Company