Chapter 19: Dr. Accounts Receivable Cr

Question 19.

Dr Accounts Receivable Cr Dr Allowance for Uncollectibles Cr
Jan 1. 82,900 c. 4,400 c. 4,400 Jan 1. 8,700
a. 240,000 d. 231,200 b. 4,800
Dec 31. 87,300 Dec 31. 9,100

Dr Bad Debt Expense . Dr Sales Cr
b. 4,800 . a. 240,000
Dec 31. 4,800 Dec 31. 240,000

Dr Cash Cr
d. 231,200

Question 20.
Dr Accounts Receivable Cr Dr Allowance for Uncollectibles Cr
Jan 1. 115,900 d. 37,800 d. 37,800 Jan 1. 18,200
b. 450,000 c. 405,400 c. 22,500*
Dec 31. 122,700
1,700 a. 1,700 Bal 31. 18,900

Question 22. a. Sales revenue: (167,000 + 49,400) – 50,600 + 47,120 = 212,920 b. Purchase of goods: 146,300 – 26,160 + 33,080 = 153,280 c. COGS: 36,600 + 153,280 – 38,920 = 150,960 d. Gross margin: 212,920 – 150,960 = 61,960

Question 23.
FIFO: LIFO: March 300 units @ $13 = $ 3,900 March 300 units @ $13 = $ 3,900 June 300 “ @ $13 = 3,900 June 600 “ @ $ 9 = 5,400 300 “ @ $ 9 = 2,700 October 500 “ @ $11 = 5,500 October 400 “ @ $ 9 = 3,600 COGS 1,400 units $14,800 100 “ @ $10 = 1,000 COGS 1,400 units $15,100

Sales $21,850 Sales $21,850 COGS 15,100 COGS 14,800 Gross Margin $ 6,750 Gross Margin $ 7,050

Ending inventory. Ending inventory: 1,000 units @ $10 = $10,000 300 units @ $13 = $