the bookkeeper of vitial inc has asked to assist him with preparation of financial information about the company\'s trade receivables for presentation in the statement of financial position at december 31 2015, the end of the company\'s fiscal year. Trade receivable jan 2015 500,00 allowance for doubtful accounts jan 2015 25,00 1)determine the balance of trade receivable ? 2)vital estimate 6% wont be collected, prepare ournal entry /? 3)how the information is presented on the financial statement? 4) Solution a) The balance of trade receivable is 475 b) Journal Entry: c) The information is presented on the financial statement is: Account receibles   475 ; A llowance for doubtful accounts (28.50) .

1. the bookkeeper of vitial inc has asked to assist him with preparation of financial information
about the company's trade receivables for presentation in the statement of financial position at
december 31 2015, the end of the company's fiscal year.
Trade receivable jan 2015 500,00
allowance for doubtful accounts jan 2015 25,00
1)determine the balance of trade receivable ?
2)vital estimate 6% wont be collected, prepare ournal entry /?
3)how the information is presented on the financial statement?
4)
Solution
a) The balance of trade receivable is 475
b) Journal Entry:
c) The information is presented on the financial statement is:
Account receibles   475 ; A llowance for doubtful accounts (28.50)
debit credit
allowance for doubtful accounts 28.5
Account receibles 28.5