The process of estimating the uncollectible amount by analyzing account balances according tothe length of time the accounts have been outstanding.
What is aging the receivables?
100
The following factors
Principal of the note.
Rate of interest
Term of the note.
What is three factors used to calculate interest on notes?
100
Straight line method
Declining-balance method
Sum-of-the-years'-digits method
Units-of-production method
What is several different ways of calculating the amount of depreciation for each period.
100
A partnership in which all partners may actively participate in the management of the firm, but whose personal liability is limited to their own actions and the actions of those they supervise.
What is LLP Limited liability partnership?
200
allowance for Bad debts (debit)
accounts Receivable/Customer Name (credit)
What is Wrote off uncollectible account?
200
a) Cash (Debit) Notes Rec. (new note) (Debit)
Notes Rec. (old notes) (Credit) Interest revenue
(Credit)
b) Cash (Debit) Notes Rec. (new Note) (Debit)
Notes Rec (old notes) Interest Revenue (Credit)
What is note renewed at maturity?
200
a) it may be discarded of in several ways.
b) it may be sold
c)It may be exchanged or traded in for another asset.
What is the ways to dispose of plant assets?
300
a. Bad Debt Expense (Debt) A/R /Customer Name (Credit)
b. A/R - Cust. name (Debit) Bad Debt Exp. (Credit)
c. Cash (Debit) A/R /Customer Name
What is Write-off and recovery in Same Accounting Period?
300
Steps used when money is borrowed at a bank on a non-interest-bearing note that is discounted by the bank.
What is one, compute the maturity value of the note, two, compute the discount amount, three, Compute the proceeds.
300
The consumption or exhaustion of natural resources is called depletion. the purpose of accounting for depletion is to allocate the cost of these assets to the periods in which they are consumed.
What is th nature of, purpose of , and accounting for depletion?
400
based on the relationship between the amount of credit sales and the amount of uncollectible accounts. Any balance in Allowance for Bad Debts prior to adjustment is ignored in making the current period's adjusting entry.
What is percentage of sales method?
400
Contra-liability acount
What is an account with a debit balance that is deducted from the related liability account.
400
The underpreciated cost of the asset ( cost-accumulated depreciation).
What is book value?
500
is based on the relationship betwwn the amount of accounts receivable and the amount of uncollectible accounts. The estimate of uncollectibles is usually based on an aging of receivables. Any balance in Allowance for Bad Debts prior to adjustment is considered in making the current period's adjusting entry.
What is percentage of receivables method?
500
The time betwwen the date of discounting and the due date of the note.
What is discount period?
500
A grant by the federal government to an inventor giving the exclusive right to produce, use, and sell and invention for a period of 20 years.