Question

The accounts receivable clerk for Kirchhoff Industries prepared the following partially completed aging of receivables schedule as of the end of business on November 30:

			Not		Days Past Due
			Past								Over
Customer	Balance		Due		1-30		31-60		61-90		90
Academy Industries Inc.	5,400		5,400
Ascent Company	3,000				3,000
Zoot Company	11,100						11,100
Subtotals	742,300		448,300		163,300		71,300		37,100		22,300

The following accounts were unintentionally omitted from the aging schedule and not included in the subtotals above:

Customer	Balance		Due Date
Conover Industries	$10,400		July 10
Keystone Company	7,400		September 21
Moxie Creek Inc.	14,800		October 16
Rainbow Company	8,900		November 3
Swanson Company	20,000		December 21

a. Determine the number of days past due for each of the preceding accounts as of November 30. If an account is not past due, enter 0.

Customer	Due Date	Number of Days Past Due
Conover Industries	July 10	days
Keystone Company	September 21	days
Moxie Creek Inc.	October 16	days
Rainbow Company	November 3	days
Swanson Company	December 21	days

b. Complete the aging-of-receivables schedule by adding the omitted accounts to the bottom of the schedule and updating the totals. If an amount box does not require an entry, leave it blank.

Answer 1

Part-a: Compuation of Number of Days-Kirchhoff
Customer	Due date	Number of days past due
Conover Industries	11-Jul	142	Days
Keystone Company	21-Sep	72	Days
Moxie Creek Inc	16-Oct	43	Days
Rainbow Company	3-Nov	25	Days
Swanson Company	21-Dec	Not Due

Part-b:Aging of Receivable
Customer	Balance	Not past due	1-30 days	31-60 days	61-90days	over 90 days
Acadamy Industries Inc.	$5,400.00	$5,400.00
Ascent Company	$3,000.00		$3,000.00
Conover Industries	$10,400.00					$10,400.00
Keystone Company	$7,400.00				$7,400.00
Moxie Creek Inc	$14,800.00			$14,800.00
Rainbow Company	$8,900.00		$8,900.00
Swanson Company	$20,000.00	$20,000.00
Zoot Company	$11,100.00			$11,100.00
Total	$81,000.00	$25,400.00	$11,900.00	$25,900.00	$7,400.00	$10,400.00