What is the question here I’m confused
Answer:
August ending Inventory 160 units
Explanation:
It wishes a level output AKAK same production over the rest of the year
total demand:
we add up the demand of the moths and our desired ending inventory
then we subtract the beginning and divide over the eight months
800 + 650 + 720 + 690 + 530 + 610 + 630 + 610 + 500 desired ending - 300 beginning = 5,440
We divide by 8 = 680 per month
Now we can do the budget up to August to solve for the ending inventory
Ending = Beginning + Production - Demand (consumed)
Answer:
- Dr Bad Debt expense 6,000
- Cr Allowance for Doubtful Accounts account 6,000
Explanation:
The total estimated bad debts are $4,800 (= $80,000 x 6%). So the Allowance for Doubtful Accounts account ending balance should be $4,800. Since this account is a contra asset account, the ending balance should be $4,800 credited.
But currently the account has a $1,200 debit balance (it's like -$1,200), so the adjustment record must be = $4,800 + $1,200 = $6,000
That way the ending balance = $6,000 - $1,200 = $4,800
The journal entries should be:
- Dr Bad Debt expense 6,000
- Cr Allowance for Doubtful Accounts account 6,000
Answer:
Firms have no incentive to change how much they produce.
Explanation:
To obtain (goods or a service) from an outside or foreign supplier.