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tia_tia [17]
2 years ago
5

What is the normal journal entry when writing-off an account as uncollectible under the allowance method?.

Business
1 answer:
kherson [118]2 years ago
5 0

The journal entry when writing off an account as uncollectible under the allowance method is:

Allowance for Doubtful Debts     ( Dr.)              xxxxx

Accounts Receivable       ( Cr.)                                                 xxxxx

The allowance technique involves putting aside a reserve for terrible debts that are expected in the future. The reserve is based on a percent of the income generated in a reporting length, possibly adjusted for the danger associated with positive clients.

The allowance technique is used to determine how an awful lot of money a commercial enterprise needs to set apart for future awful or unrecoverable customer debt. It factors in the price of the losses an organization expects from extending patron credit.

The allowance approach requires a small commercial enterprise to estimate at the cease of the 12 months how an awful lot awful debt they have got, while the direct write-off method we could owners write off horrific debt whenever they determine a patron might not pay an invoice.

Learn more about the allowance method here brainly.com/question/4636062

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Exercise 14-37 Special Order (LO 14-4, 14-5) [The following information applies to the questions displayed below.] Intercontinen
FromTheMoon [43]

Answer:

the relevant cost will also include the differential cost for taking the order as it is related to the order being taken or not.

Explanation:

The product is regularly used therefore, it will be sold in the future.

addtional inventory cost:

6,600 x (9.80 - 9.40) = 2,640

Cost of good sold

1,300 x 9.20              = 11,960

<u><em>Total cost for the order 14,600</em></u>

5 0
4 years ago
Next year baldwin plans to include an additional performance bonus of 0. 5% in its compensation plan. This incentive will be pro
galben [10]

Baldwin will pay (D) $29.63 to its employees per hour.

<h3>What is a bonus?</h3>
  • Employees typically receive a bonus payment in addition to their base compensation as part of their wages or salary.
  • While the base compensation is often a predetermined amount per month, incentive payouts may change based on established factors such as annual turnover, the net number of additional customers recruited, or the current value of a public company's shares.
  • Thus, bonus payments can work as incentives for managers, engaging their attention and personal interest in what is perceived as beneficial to the economic performance of their companies.

Consider the following calculations to determine how much Baldwin pays its employees:

  • Total raise = 5% + 0.25% = 5.25%
  • Present wages = $28.15
  • Baldwin will pay = $28.15 × (1.0525) = $29.63

Therefore, Baldwin will pay (D) $29.63 to its employees per hour.

Know more about a compensation plan here:

brainly.com/question/25438234

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The complete question is given below:

Next year Baldwin plans to include an additional performance bonus of 0.25% in its compensation plan. This incentive will be provided in addition to the annual raise if productivity goals are reached. Assuming the goals are reached, how much will Baldwin pay its employees per hour?

Select: 1

(A) $28.22

(B) $31.04

(C) $28.15

(D) $29.63

8 0
2 years ago
Norman Delivery Company purchased a new delivery truck for $36,000 on April 1, 2019. The truck is expected to have a service lif
ArbitrLikvidat [17]

Answer:

2019 = 2750

2020 = 5500

Explanation:

Given that:

Cost of truck = $36000

Salvage value = $3000

Useful life = 120, 000 miles

(Cost of asset - salvage value) / useful life

(36000 - 3000) / 120,000 = 0.275

2019 : 0.275 x 10,000 = 2750

2020 : 0.275 * 20000 = 5500

3 0
3 years ago
To improve customer service in its overseas call center, jansen electronics decided to investigate the call center practices of
stepan [7]

This illustrates <u>"benchmarking".</u>

Benchmarking is a procedure of estimating the execution of an organization's items, administrations, or procedures against those of another business thought to be the best in the business, otherwise known as "best in class." The purpose of benchmarking is to distinguish interior open doors for development. By considering organizations with unrivaled execution, separating what makes such prevalent execution conceivable, and after that contrasting those procedures with how your business works, you can actualize changes that will yield huge upgrades.  

8 0
4 years ago
______ facilitate the transfer of financial assets among individuals, institutions, business, and governments
lisov135 [29]

Answer:

Financial markets

...hope this helpss weeepeee :)

5 0
3 years ago
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