PR 92A Aging of receivables estimating allowance for doubtfu

PR 9-2A Aging of receivables; estimating allowance for doubtful accounts Trophy Fish Company supplies flies and fishing gear to sporting goods stores and outfit- ters throughout the western United States. The accounts receivable clerk for Trophy Fish prepared the following partially completed aging of receivables schedule as of the end of business on December 31, 20Y6: OBJ. 4 3. $121,000 Excel Not Past Days Past Due 3 Customer Balance Due 1-30 31-60 61-90 91-120 Over 120 20,000 20,000 AAA Outfitters 5 Brown Trout Fly Shop 7,500 7,500 Zigs Fish Adventures 31 Subtotals 4,000 1,300,000 750,000 290,000 120,000 40,000 20,000 80,000 4,000

Solution

Please hit LIKE button if this helped. For any further explanation, please put your query in comment, will get back to you. 1. (31 Dec 2016-Due Date) Customer Due date Number of Days past due Adam Sports and Files 22-May-16 223 Blue Dun Files 10-Oct-16 82 Cicada Fish Co 29-Sep-16 93 Deschutes Sports 20-Oct-16 72 Green River Sports 07-Nov-16 54 Smith River Co 28-Nov-16 33 Western Trout Co 07-Dec-16 24 Wolfe Sports 20-Jan-17 0 2,3 Customer Balance Not past Due 1-30 31-60 61-90 91-120 over 120 AAA outfittes 20000 20000 Brown Trout Fly Shop 7500 7500 Zing Fish Adventure 4000 4000 Subtotals 1300000 750000 290000 120000 40000 20000 80000 Adam Sports and Files 5000 5000 Blue Dun Files 4900 4900 Cicada Fish Co 8400 8400 Deschutes Sports 7000 7000 Green River Sports 3500 3500 Smith River Co 2400 2400 Western Trout Co 6800 6800 Wolfe Sports 4400 4400 Total 1342400 754400 296800 125900 51900 28400 85000 % Uncollectible 1 2 10 30 40 80 Estimate of Uncollectible Accounts 121000 7544 5936 12590 15570 11360 68000 4 Bad Debt Expense Debit 124600 121000+3600 Allowance for Uncollectible Accounts Credit 124600 5. Assets to be Overstated by 124600 Owner\'s Capital to be Overstated by 124600 Expenses to be Understated by 124600 Net Income to be Overstated by 124600