Question

The accounts receivable clerk for Evers Industries prepared the following partially completed aging of receivables schedule as of the end of business on July 31:

1	A	B	C	D	E	F	G
2				Days Past Due	Days Past Due	Days Past Due	Days Past Due
3	Customer	Balance	Not Past Due	1-30	31-60	61-90	Over 90
4	Acme Industries Inc.	3,300.00	3,300.00
5	Alliance Company	4,800.00		4,800.00
6	~~~~~	~~~~~	~~~~~	~~~~~	~~~~~	~~~~~	~~~~~
7	Zollinger Company	5,000.00			5,000.00
8	Subtotals	1,045,200.00	595,600.00	223,700.00	111,600.00	85,300.00	29,000.00

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

Customer	Balance	Due Date
Boyd Industries	$43,900	April 7
Hodges Company	21,000	May 29
Kent Creek Inc.	7,800	June 8
Lockwood Company	15,000	August 10
Van Epps Company	12,300	July 2

Required:

A.	Determine the number of days past due for each of the preceding accounts as of July 31. If an account is not past due, enter a zero.
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.

First Question

A. Determine the number of days past due for each of the accounts below as of July 31. If an account is not past due, enter a zero.

Customer	Due Date	Number of Days Past Due
Boyd Industries	April 7	_________days
Hodges Company	May 29	_________days
Kent Creek Inc.	June 8	_________ days
Lockwood Company	August 10	_________days
Van Epps Company	July 2	_________days

Aging of Receivables Schedule

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.

Evers Industries

Aging of Receivables Schedule

July 31

1				Days Past Due	Days Past Due	Days Past Due	Days Past Due
2	Customer	Balance	Not Past Due	1-30	31-60	61-90	Over 90
3	Acme Industries Inc.	3,300.00	3,300.00
4	Alliance Company	4,800.00		4,800.00
5	~~~~~	~~~~~	~~~~~	~~~~~	~~~~~	~~~~~	~~~~~
6	Zollinger Company	5,000.00			5,000.00
7	Subtotals	1,045,200.00	595,600.00	223,700.00	111,600.00	85,300.00	29,000.00
8	Boyd Industries
9	Hodges Company
10	Kent Creek Inc.
11	Lockwood Company
12	Van Epps Company
13	Totals

Answer 1

(a)

The number of days past due is calculated as follows:

Customer	Balance	From Due Date	To Date	Number of Days past due
Boyd Industries	$43900	Apr 7	July 31	115 days
Hodges Company	$21000	May 29	July 31	63 days
Kent Creek Inc.	$7800	June 8	July 31	53 days
Lockwood Company	$15000	August 10	July 31	0
Van Epps Company	$12300	July 2	July 31	29 days

The number of days past due is calculated for each customer based on the number of days from due date to July 31. The date from the due date is not included while calculating the number of days past due. In case of Boyd industries the number of days from Apr 8 to 31 July is calculated as 115 days. In case of Hodges Company the number of days from 30^th May to 31 July is calculated as 63 days. In case of Kent Creek Inc. the number of days from 9^th June to 31 July is calculated as 53 days. In case of Lockwood Company, the due date is yet to arrive. In case of Van Epps Company the number of days from 3 July to 31 July is calculated as 29 days.

(b)

Evers Industries

Aging of Receivables Schedule

July 31

  Days Past Due

Customer	Balance	Not Past Due	1-30	31-60	61-90	Over 90
Acme Industries	3,300	3,000
Alliance Company	4,800		4,800
Zollinger Company	5,000			5,000
Subtotals	1,045,200	595600	223700	111600	85300	29000
Boyd Industries	43900					43900
Hodges Company	21000				21000
Kent Creek Inc.	7800			7800
Lockwood Company	15000	15000
Van Epps Company	12300		12300
Totals	$1,145200	610600	$236000	$119400	$106300	$72900