By the end of its first year of operations, previts corporation has credit sales of $610,000 and accounts receivable of $210,000. given it’s the first year of operations, previts’ management is unsure how much allowance for uncollectible accounts it should establish. one of the company’s competitors, which has been in the same industry for an extended period, estimates uncollectible accounts to be 3% of ending accounts receivable, so previts decides to use that same amount. however, actual write-offs in the following year were 15% of the $210,000 (= $31,500). previts’ inexperience in the industry led to making sales to high credit risk customers. record the adjustment entry for uncollectible accounts.

Review the key ethical and social issues over the last five decades and place each on the timeline in chronological order. note that once you complete this part of the question, you will be unable to adjust your answers.

Listed below are several transactions that took place during the first two years of operations for the law firm of pete, pete, and roy. year 1 year 2amounts billed to clients for services rendered $ 170,000 $ 220,000 cash collected from clients 160,000 190,000 cash disbursements salaries paid to employees for services rendered during the year 90,000 100,000 utilities 30,000 40,000 purchase of insurance policy 60,000 0 in addition, you learn that the company incurred utility costs of $35,000 in year 1, that there were no liabilities at the end of year 2, no anticipated bad debts on receivables, and that the insurance policy covers a three-year period. required: 1. & 3. calculate the net operating cash flow for years 1 and 2 and determine the amount of receivables from clients that the company would show in its year 1 and year 2 balance sheets prepared according to the accrual accounting model.2. prepare an income statement for each year according to the accrual accounting model.

Acompany sells garden hoses and uses the perpetual inventory system to account for its merchandise. the beginning balance of the inventory and its transactions during september were as follows: