Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. vulcan service company experienced the following t

Vulcan Service Company experienced the following transactions for Year 1, its first year of operations:...

80.2K

Verified Solution

Question

Accounting

Vulcan Service Company experienced the following transactions for Year 1, its first year of operations:

  1. Provided $78,000 of services on account.
  2. Collected $46,800 cash from accounts receivable.
  3. Paid $26,000 of salaries expense for the year.
  4. Adjusted the accounts using the following information from an accounts receivable aging schedule:

Number of Days Past Due Amount Percent Likely to Be Uncollectible Allowance Balance
Current $23,088 0.01
0 to 30 1,560 0.05
31 to 60 2,184 0.10
61 to 90 1,872 0.30
Over 90 days 2,496 0.50

Required

  1. Record the given transactions in general journal form and post to T-accounts.
  2. Prepare the income statement for Vulcan Service Company for Year 1.
  3. What is the net realizable value of the accounts receivable at December 31, Year 1?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Suppose V is a finite dimensional inner product space. Prove that every orthogonal operator on V...

Advance Math
Q

How does exercise of increasing intensity change HR? What controls this change? What changes are anticipated in...

Medical Sciences
Q

What would be the result of an experiment if the primers had a melting temperature of...

Biology
Q

height of its n the mpact illed 8 Three blocks are initially placed as shown...

Physics
Q

The positions of town A town B town C and town D are marked on...

Basic Math
Q

8 5i 5 5i 8 5i 5 5i Simplify your answer Type your answer in...

Calculus
Q

Question 2 (26 marks) Joyce Corporation engages in the provision of repair services. The Corporation...

Accounting
Q

Suppies Equipment Accounts Payable Common Stock Retained Earning Dividends Service Fees Eamed Wages pense Total...

Accounting
Q

Which is not true regarding the Accounts Payable Aging Report? It provides information to track...

Accounting
Q

Which one of the following is not a Federal taxation legislation? Select one:...

Accounting
Q

Question 1 - 34 pts Olivia's Shoes sells high end footwear. Due to the high...

Accounting
Q

Trace Ltd produces chemical X, used in the manufacturing of a pesticide by mixing and...

Accounting