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Business, 25.02.2020 21:06 juan1216av
Macrosoft develops, produces, and markets a wide range of computer software. On its recent financial statements, Macrosoft reported the following information about net sales revenue and accounts receivable (amounts in millions).
Year1 Year2
Accounts receivable, net of allowances of $333 and $375 $14,987 $13,014
Net revenues $69,943 $62,484
According to its annual, Microsoft recorded bad debt expense of $14 and there were no bad debt recoveries during the year 2 and did not reinstate any previously written-off accounts.
Required:
(1) What amount of bad debts was written off during year 2?
(2) Assuming that all of Microsoft's sales during the period were on open account, compute the amount of cash collected from customers for year 2.
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Answers: 1
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Macrosoft develops, produces, and markets a wide range of computer software. On its recent financial...
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