Accounting – presented below is an aging schedule for mccann company

FIND A SOLUTION AT Academic Writers Bay

Presented below is an aging schedule for McCann Company.
 
 
 
 
 
A
 
B
 
C
 
D
 
E
 
F
 
G
 
 
1
 
Customer
 
Total
 
Not Yet Due
 
Number of Days Past Due
 
 
2
 
 
3
 
30-Jan
 
31-60
 
61-90
 
Over 90
 
 
4
 
Amos
 
$22,000
 
 
 
$10,000
 
$12,000
 
 
 
 
 
 
5
 
Brian
 
40,000
 
$40,000
 
 
 
 
 
 
 
 
 
 
6
 
Chevy
 
57,000
 
16,000
 
6,000
 
 
 
$35,000
 
 
 
 
7
 
Drake
 
34,000
 
 
 
 
 
 
 
 
 
$34,000
 
 
8
 
Others
 
132,000
 
96,000
 
16,000
 
14,000
 
 
 
6,000
 
 
9
 
 
 
$285,000
 
152,000
 
$32,000
 
$26,000
 
$35,000
 
$40,000
 
 
10
 
Estimated Percentage Uncollectible
 
 
 
3%
 
6%
 
13%
 
25%
 
60%
 
 
 
 
11
 
Total Estimated Bad Debts
 
$42,610
 
$4,560
 
$1,920
 
$3,380
 
$8,750
 
$24,000
 
 
 
12
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
At December 31, 2012, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $12,000.
 
 
 
Instructions
 
(a) Journalize and post the adjusting entry for bad debts at December 31, 2012
 
(b) Journalize and post to the allowance account the following events and transactions in the year 2013
 
(1) On March 31, a $1,000 customer balance originating in 2012 is judged uncollectible.
 
(2) On May 31, a check for $1,000 is received from the customer whose account was written off as uncollectible on March 31.
 
 
 
(c)  Journalize the adjusting entry for bad debts on December 31, 2013, assuming that the unadjusted balance in Allowance for Doubtful Accounts is a debit of $800 and the aging schedule indicates that total estimated bad debts will be $28,600.
 
 
 
P10-1A
 
 
 
Rumblebuffin Company was organized on January 1. During the first year of operations, the following plant asset expenditures and receipts were recorded in random order.
 
 
 
Debits
 
1. Cost of filing and grading the land                                                       $4,000
 
2. Full payment to building contractor                                                  700,000
 
3. Real estate taxes on land paid for the current year                            5,000
 
4. Cost of real estate purchased as a plant site (land
 
     building $45,000)                                                                                  145,000
 
5. Excavation costs for new building                                                       35,000
 
6. Architect’s fees on building plans                                                        10,000
 
7. Accrued real estate taxes paid at time of purchase
 
    of real estate                                                                                                2,000
 
8. Cost of parking lots and driveways                                                     14,000
 
9. Cost of demolishing building to make land suitable
 
    for construction of new building                                                         15,000
 
                                                                                                                     $930,000
 
 
 
Credit
 
10. Proceeds from salvage of demolished building                            $     3,500
 
 
 
Instructions
 
Analyze the foregoing transactions using the following column headings. Insert the number of each transaction in the Item space, and insert the amounts in the appropriate columns. For amounts entered in the Other Accounts column, also indicate the account titles.
 
 
 
Item                Land               Buildings                   Other Accounts
 
 
 
P10-3A
 
On January 1, 2012, Tiggy Company purchased the following two machines for use in its production process.
 
            Machine A: The cash price of this machine was $38,000. Related expenditures included: sales tax $1,700, shipping costs $150, unsurance during shipping $80, installation and testing costs $70, and $100 of oil and lubricants to be used with the machinery during its first year of operations. Tiggy estimates that the useful life of the machine is 5 years with a $5,000 salvage value remaining at the end of that time period. Assume that the straight-line method of depreciation is used.
 
 
 
            Machine B: The recorded cost of this machine was $160,000. Tiggy estimates that the useful life of the is 4 years with a $10,000 salvage value remaining at the end of that time period.
 
 
 
Instructions
 
(a) Prepare the following for Machine A.
 
(1)  The journal entry to record its purchase on January 1, 2012.
 
(2)  The journal entry to record annual depreciation at December 31, 2012.
 
(b) Calculate the amount of depreciation expense that Tiggy should record for Machine B each year of its useful life, under the following assumptions.
 
(1)  Tiggy uses the straight-line method of depreciation.
 
(2)  Tiggy uses the declining-balance method. The rate used is twice the straight-line rate.
 
(3)  Tiggy uses the units-of-activity method and estimates that the useful life of the machine is 125,000 units. Actual usage is as follows: 2012, 45,000 units; 2013, 35,000 units; 2014, 25,000 units; 2015, 20,000 units.
 
 
      (c) Which method used to calculate depreciation on Machine B reports the highest amount of depreciation expense in year 1 (2012)? The highest amount in year 4 (2015)? The highest total amount over the 4-year period?

Order from Academic Writers Bay
Best Custom Essay Writing Services

QUALITY: ORIGINAL PAPER NO PLAGIARISM - CUSTOM PAPER

Why Choose Us?

  • non-plagiarized Papers
  • 24/7 /365 Service Available
  • Affordable Prices
  • Any Paper, Urgency, and Subject
  • Will complete your papers in 6 hours
  • On-time Delivery
  • Money-back and Privacy guarantees
  • Unlimited Amendments upon request
  • Satisfaction guarantee
SATISFACTION
SATISFACTION

How It Works

  • Click on the “Place Your Order” tab at the top menu or “Order Now” icon at the bottom and a new page will appear with an order form to be filled.
  • Fill in your paper’s requirements in the "PAPER DETAILS" section.
  • Fill in your paper’s academic level, deadline, and the required number of pages from the drop-down menus.
  • Click “CREATE ACCOUNT ; SIGN IN” to enter your registration details and get an account with us for record-keeping and then, click on “PROCEED TO CHECKOUT” at the bottom of the page.
  • From there, the payment sections will show, follow the guided payment process and your order will be available for our writing team to work on it.

About AcademicWritersBay.com

AcademicWritersBay.comnbsp;is an easy-to-use and reliable service that is ready to assist you with your papers 24/7/ 365days a year. 99% of our customers are happy with their papers. Our team is efficient and will always tackle your essay needs comprehensively assuring you of excellent results. Feel free to ask them anything concerning your essay demands or Order.

AcademicWritersBay.com is a private company that offers academic support and assistance to students at all levels. Our mission is to provide proficient andnbsp;high quality academic servicesnbsp;to our highly esteemed clients. AcademicWritersBay.com is equipped with competent andnbsp;proficient writersnbsp;to tackle all types of your academic needs, and provide you with excellent results. Most of our writers are holders ofnbsp;master's degreesnbsp;ornbsp;PhDs, which is an surety of excellent results to our clients. We provide assistance to students all over the world.
We provide high quality term papers, research papers, essays, proposals, theses and many others. Atnbsp;AcademicWritersBay.com, you can be sure ofnbsp;excellent gradesnbsp;in your assignments and final exams.

NO PLAGIARISM
NO PLAGIARISM
error: Content is protected !!