Purchase Solution

Preparing an Aging Schedule for Accounts Receivable

Not what you're looking for?

Ask Custom Question

Laura's Ad Agency accounts receivable totaled $451,000 on February 28, 2011. An aging summary of receivables at this date follows:

End of Month Amount
February 2011 $250,000
January 2011 100,000
December 2010 50,000
November 2010 30,000
October 2010 and before 21,000

The firm extends 30-day credit terms to all of its customers.

a) prepare an aging schedule for Laura's agency
b) evaluate the collection performance
c) what percentage is overdue

Purchase this Solution

Solution Summary

Laura's Ad Agency accounts receivable totaled $451,000 on February 28, 2011. An aging summary of receivables at this date follows:

End of Month Amount
February 2011 $250,000
January 2011 100,000
December 2010 50,000
November 2010 30,000
October 2010 and before 21,000

The firm extends 30-day credit terms to all of its customers.

a) prepare an aging schedule for Laura's agency
b) evaluate the collection performance
c) what percentage is overdue

Purchase this Solution


Free BrainMass Quizzes
Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.

Basics of corporate finance

These questions will test you on your knowledge of finance.

SWOT

This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.