Question

Uncollectible accounts are determined by the​ percent-of-sales method to be 22​% of credit sales. How much is​ uncollectible-account expense for 20142014​?

Answer 1

Answer:

Therefore uncollectibel account expense = 0.22 x 94,000 = $20,680

Explanation:

Uncollectible accounts are determined by the​ percent-of-sales method to be 22​% of credit sales. How much is​ uncollectible-account expense for 2014​?

Uncollectible Accounst will simply be 22% multiplied by the credit sales figure for the year.

Accounts Receivable.....26,000

Allowance for collectible account...1,500

Credit sales for 2014 ...$94,000

Cash Sales for 2014.....28,000

Collection from customers on account...100,000

Therefore uncollectibel account expense = 0.22 x 94,000 = $20,680