Question

please bold answers in explanation

a. The balance in Deferred Inflows—Property Taxes was $77,000 at the end of the previous year. This was recognized as revenue in the current year in a reversing journal entry. b. On July 1, 2019, property taxes in the amount of $9,100,000 were levied. It was estimated that 0.5 percent would be uncollectible. The property taxes were intended to finance the expenditures for the year ended June 30, 2020. c. October 31, $4,900,000 in property taxes were collected. d. December 31, $4,000,000 in additional property taxes were collected. e. Receivables totaling $11,700 were deemed to be uncollectible and written off. f. On June 30, $85,000 was moved from Revenues Control to Deferred Inflows, because it was not expected to be collected within 60 days. Prepare journal entries for each of the dates as indicated. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

Answer 1

1. Journal Entries -

Date Credit a Journal Entries Accounts Title Debit Deferred Revenue $ 77,000 Property Taxes Revenue (Being Revenue recognised in the period) $ 77,000 b Accounts Receivable $9,100,000 Property Taxes Revenue (Being revenue earned in the period) $9,100,000 Bad Debts $ 45,500 Allowance for doubtful account (Being provision made) $ 45,500 с Cash $4,900,000 Accounts Receivable (Being amount received on account) $4,900,000 d Cash $4,000,000 Accounts Receivable (Being amount received on account) $4,000,000 e Allowance for doubtful account $ 11,700 Accounts Receivable $ (Being bad debts write off during the period) 11,700 f Property Taxes Revenue $ 85,000 Deferred Revenue (Being property tax revenue deferred) $ 85,000