For Each of the Following Independent Situations, Compute Net Accounts

question 2

Essay

For each of the following independent situations, compute net accounts receivable.
a. Accounts Receivable has a balance of $14,000. The Allowance for Uncollectible Accounts has a credit balance prior to adjustment of $300. An aging schedule prepared on December 31 reveals $1,100 of uncollectible accounts.
b. Accounts Receivable has a balance of $25,700. The Allowance for Uncollectible Accounts has a debit balance prior to adjustment of $400. An aging schedule prepared on December 31 reveals $2,300 of uncollectible accounts.
c. Accounts Receivable has a balance of $84,000. The Allowance for Uncollectible Accounts has a credit balance prior to adjustment of $300. Net credit sales for the year are $250,000 and 3% is estimated to be uncollectible.
d. Accounts Receivable has a balance of $83,000. The Allowance for Uncollectible Accounts has a debit balance prior to adjustment of $400. Net credit sales for the year are $250,000 and 3% is estimated to be uncollectible.

---

Definitions:

Farm Production

The process and output involved in the cultivation of crops and the rearing of livestock for economic purposes.

Conservation Reserve Program

A land conservation program initiated by the U.S. government to improve water quality, prevent soil erosion, and enhance habitats for endangered and threatened species.

Demand Graph

A visual representation of the relationship between the price of a good or service and the quantity demanded by consumers.

Farm Product

Goods that are produced by farming activities, including crops, livestock, and products derived from them like milk or wool.