Answer:
a.$37,560
Explanation:
Cash balance $40,000 at month end = Cash balance $52,000 at beginning + cash receipts in June of $532,160 - cash disbursements of $581,720 + New borrowing
⇔ $40,000 = $2,440 + new borrowing
⇔ New borrowing = $40,000 - $2,440 = $37,560
If Skot wishes to maintain a cash balance of $40,000, Skot have to borrow $37,560 if it started the month with a cash balance of $52,000
I would want to consider the risk of the investment before putting in money. I would also want to consider how good the investment is, and whether its worth it or not
Answer:
Forecasting
Explanation:
Because a weather forecast looks ahead for weather. You are forecasting your financial future
Answer:
The bad debt account will be debited with $3,250
Explanation:
This explains the principle of double entry. For every debit entry you will have a corresponding credit entry
In recognizing a risk (likely uncollectible debts) to Asset (account receivables) and Net income (overstated Revenue) the Allowance for doubtful debt Account will be credited with a provision (1% which comes to $3,250 as in the case with our question) to draw down the value of our receivables to a more sensible number and our Bad debt expense account takes the debit, to reflect a more defendable Net income to our shareholders