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    kspuriel's Avatar
    kspuriel Posts: 1, Reputation: 1
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    #1

    Mar 25, 2009, 06:37 PM
    Accounts Receivable Aging Method
    Hello,

    My name is Karen an I am a graduate student for Master's of Social Administration, and I have a hard time grasping financial accounting I need help.

    My question is accounts receivable account that shows a debit balance of 104,000 at the end of the year. An aging analysis of individual accounts indicates estimated uncollectable accounts 6,700. I need to prepare an entry to record the uncollectable accounts expense under each of the following independent assumptions: allowances for uncollectible accounts has a credit balance of 800 before adjudstment and allowance for uncollectible accounts has a debit balance of 800 before adjustment. What will the balance of allowance for uncollectible accounts after each of these adjustments?
    ROLCAM's Avatar
    ROLCAM Posts: 1,420, Reputation: 23
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    #2

    Mar 25, 2009, 08:07 PM

    The balance of uncollectible accounts by definition must be 6,700 in both of your assumptions.

    In the first case you must DEBIT the
    Uncollectible account by 7,500.
    In the second case you must DEBIT the
    Uncollectible account by 5,900.
    Clough's Avatar
    Clough Posts: 26,677, Reputation: 1649
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    #3

    Mar 26, 2009, 04:01 AM

    Hi, kspuriel!

    Greetings and WELCOME to the site! I just moved your question that you had posted in Introductions to this forum topic area where it would be more appropriate to be placed. Introductions is for people to introduce themselves and we try to not ask questions there.

    It can be a little confusing when first learning how to use this site! Your question will get noticed much more in this forum topic area.

    I do note, that while your question was in Introductions, that you did get a response from ROLCAM.

    We would appreciate it if you would return to Introductions sometime to tell us a little about yourself though, if you would be willing to do that.

    Thanks!
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