GB 518 Unit 04 Assignment - Unit 4 - Reporting and Analyzing Receivables and Long-Term Assets - EXCEL TEMPLATE
P7-4A Carmack Company has credit sales of $2.6 million for year 2011. On December 31, 2011, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $13,400. Carmack prepares a scheduled of its December 31, 2011 accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category that will become uncollectible. The information is summarized here.
P08-01-A Xavier Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1, 2011, at a total cash price of $787,500 for a building, land, land improvements, and four vehicles. The estimated market values of the assets are building, $408,00; land, $289,00; land improvements, $42,500; and four vehicles, $110,500. The company's fiscal year ends December 31.
Part 1 Prepare a table to allocate the lump-sum purchase price to the separate assets purchased (round percents to nearest 1%). Prepare the jounal entry to record the purchase. accounts receivables method.
P7-4A Carmack Company has credit sales of $2.6 million for year 2011. On December 31, 2011, the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $13,400. Carmack prepares a scheduled of its December 31, 2011 accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category that will become uncollectible. The information is summarized here.
Part 1 Estimate the required balance of the Allowance for Doubtful Accounts at December 31, 2011, using the aging accounts receivables method.
Part 2 Prepare the adjusting entry to record bad debts expense at December 31, 2001.
Part 3 On June 30, 2012, Carmack Company concludes that a customer's $3750 receivable (created in 2011) is uncollectible and that the account should be written off. What effect will this action have on Carmack's 2012 net income? Explain.
P08-01-A Xavier Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1, 2011, at a total cash price of $787,500 for a building, land, land improvements, and four vehicles. The estimated market values of the assets are building, $408,00; land, $289,00; land improvements, $42,500; and four vehicles, $110,500. The company's fiscal year ends December 31.
Part 1 Prepare a table to allocate the lump-sum purchase price to the separate assets purchased (round percents to nearest 1%). Prepare the jounal entry to record the purchase. accounts receivables method.
Part 2 Compute the depreciation expense for year 2011 on the building using the straight-line method, assuming a 15 year life and a $25,650 salvage value.
Part 3 Compute the depreciation expense for year 2011 on the land improvements assuming a 5 year life and double-declining-balance depreciation.
Part 4 Defend or refute this statement: Accelerated depreciation results in payment of less taxes over the asset's life.
File name: P08-01-A-P7-4A-Unit-4.xls File type: application/vnd.ms-excel Price: $8
