Estimatinguncollectibleaccountsbyanalyzingindividualaccountsreceivableaccordingtothelengthoftimetheyhavebeenoutstandingisknownasthe:

A. directwrite-offmethod.
B. percent-of-salesmethod.
C. allowancemethod.
D. aging-of-receivablesmethod.

SIAS corp. held trading investments valued at $55,000 at December 31, 2008. These investments cost SIAS $50,000. What is the appropriate amount for SIAS to report for these investments on the December 31, 2008, balance sheet?

A. $50,000
B. $55,000
C. $5,000 gain
D. cannot be determined from the data given

SIAS corp. held trading investments valued at $55,000 at December 31, 2008. These investments cost SIAS $50,000. What should appear on the SIAS income statement for the year ended December 31, 2008, for the trading investments?

A. $50,000
B. $55,000
C. $5,000 unrealized gain
D. cannot be determined from the data given

On August 1, 2010, Botores, Inc., sold equipment and accepted a six-month, 12%, $50,000 note receivable. Botores year-end is December 31. How much interest revenue should Botores accrue on December 31, 2010?

A. $6,000
B. $2,500
C. $3,000
D. some other amount

On August 1, 2010, Botores, Inc., sold equipment and accepted a six-month, 12%, $50,000 note receivable. Botores year-end is December 31. How much interest does Botores, Inc., expect to collect on the maturity date (February 1, 2011)?

A. $3,000
B. $6,000
C. $2,500
D. some other amount

Vincent Company uses the aging method to adjust the allowance for uncollectible accounts at the end of the period. At December 31, 2010, the balance of accounts receivable is $200,000 and the allowance for uncollectible accounts has a credit balance of $4,000 (before adjustment). An analysis of accounts receivable produced the following age groups:Current ...................................... $160,00060 days past due......................... 32,000Over 60 days past due................ 8,000$200,000Based on past experience, Vincent estimates that the percentage of accounts that will prove to be uncollectible within the three age groups is 4%, 10%, and 21%, respectively. Based on these facts, the adjusting entry for uncollectible accounts should be made in the amount of

A. $7,280
B. $16,280
C. $11,280
D. $2,000

Ifabuyertakesadvantageofasalesdiscount,thejournalentryrecordedbythesellerwillincludea(n):

A. debittoCash,credittoSalesDiscountandcredittoAccountsReceivable.
B. debittoCash,debittoSalesDiscountandcredittoAccountsReceivable.
C. debittoCashandcredittoAccountsReceivable.
D. debittoCash,debittoSalesReturnsandAllowancesandcredittoAccountsReceivable.

Which method to record uncollectible accounts does NOT use estimates?

Allowance method
B. Percent-of-Sales
C. Aging-of-receivables method
Direct write-off method

JS company had several transctions, journalize the entries.

Journalize the following transactions for The Computer Store. The Computer Store uses the allowance method of accounting for uncollectible receivables. Ignore Cost of Goods Sold Explanations are not required.