Solved

The Following Information Is Related to December 31, 2021 Balances

Question 176

Multiple Choice

The following information is related to December 31, 2021 balances. The following information is related to December 31, 2021 balances. During 2022, sales on account were $870,000 and collections on account were $516,000.The company wrote off $48,000 in uncollectible accounts.An analysis of outstanding receivable accounts at year-end indicated that bad debts should be estimated at $324,000.Bad debt expense for 2022 is A) $102,000. B) $ 54,000. C) $324,000. D) $ 6,000. During 2022, sales on account were $870,000 and collections on account were $516,000.The company wrote off $48,000 in uncollectible accounts.An analysis of outstanding receivable accounts at year-end indicated that bad debts should be estimated at $324,000.Bad debt expense for 2022 is


A) $102,000.
B) $ 54,000.
C) $324,000.
D) $ 6,000.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q171: Young Company lends Dobson industries $40,000 on

Q172: Both accounts receivable and notes receivable represent

Q173: The holder of a note adjusts for

Q174: In 2022, the Golic Co.had net credit

Q175: Simonic Retailers accepted $80,000 of Citibank Visa

Q177: Kinsler Company uses the percentage-of-receivables method for

Q179: An analysis and aging of the accounts

Q180: Under the allowance method, Bad Debt Expense

Q181: Young Company lends Dobson industries $40,000 on

Q215: Under the direct write-off method of accounting