Black diamond company produces snow skis. each ski requires 2 pounds of carbon fiber. the company’s management predicts that 6,100 skis and 7,100 pounds of carbon fiber will be in inventory on june 30 of the current year and that 161,000 skis will be sold during the next (third) quarter. a set of two skis sells for $410. management wants to end the third quarter with 4,600 skis and 5,100 pounds of carbon fiber in inventory. carbon fiber can be purchased for $10 per pound. each ski requires 0.5 hours of direct labor at $15 per hour. variable overhead is applied at the rate of $5 per direct labor hour. the company budgets fixed overhead of $1,793,000 for the quarter. prepare the third-quarter production budget for skis.

Colorado rocky cookie company offers credit terms to its customers. at the end of 2018, accounts receivable totaled $715,000. the allowance method is used to account for uncollectible accounts. the allowance for uncollectible accounts had a credit balance of $50,000 at the beginning of 2018 and $30,000 in receivables were written off during the year as uncollectible. also, $3,000 in cash was received in december from a customer whose account previously had been written off. the company estimates bad debts by applying a percentage of 15% to accounts receivable at the end of the year. 1. prepare journal entries to record the write-off of receivables, the collection of $3,000 for previously written off receivables, and the year-end adjusting entry for bad debt expense.2. how would accounts receivable be shown in the 2018 year-end balance sheet?