Info Times Inc

question 159

Essay

Info Times Inc. had service revenue on account for the year of $300,000 and cash collections of $130,000. During the year, uncollectible accounts receivable of $700 were written off. At December 31, an aging of accounts receivable indicated that Info Times Inc. will not collect $4,500 of its accounts receivable. Info Times Inc. had a $2,100 credit balance in the Allowance for Uncollectible Accounts at the beginning of the year.
1. Journalize the entries to record (1) the service revenue, (2) the cash collections, (3) the write-off of the uncollectible receivable and (4) the year end entry to record uncollectible account expense.

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Definitions:

Temperate Deciduous Forests

Biomes characterized by four seasons, including a distinct winter, and dominated by trees that lose their leaves annually.

Tropical Rain Forests

Biomes located around the Earth’s equator, characterized by high rainfall, diverse species of flora and fauna, and a constant warm temperature throughout the year.

Sunlight Penetrating

The process by which sunlight makes its way through the Earth's atmosphere to reach the surface, providing light and warmth essential for life.

Ground Level

The specific area or surface upon which activities, operations, or structures are situated and take place.