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Anarel [89]
3 years ago
6

Reliable Enterprises sells distressed merchandise on extended credit terms. Collections on these sales are not reasonably assure

d, and bad debt losses cannot be reasonably predicted. It is unlikely that repossessed merchandise is in condition to be re-sold. Therefore, Reliable uses the cost recovery method. Merchandise costing $32,500 was sold for $56,750 in 2017. Collections on this sale were $19,100 in 2017, $14,900 in 2018, and $22,750 in 2019. In its 2017 year-end balance sheet, Reliable would report installment receivables (net) of:
Business
1 answer:
navik [9.2K]3 years ago
6 0

Answer:

In its 2017 year-end balance sheet, Reliable would report installment receivables (net) of $13,400.

Explanation:

Under cost recovery method, the amount which is actually received was recorded in the books of the accounts. Rest will not be considered.

The Installment receivables should be computed by a formula which is shown below:

= 2017 Merchandising costing - 2017 sales collection

= $32,500 - $19,100

= $13,400

Thus, In its 2017 year-end balance sheet, Reliable would report installment receivables (net) of $13,400.

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b. speed money

Explanation:

Speed money -

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It is also known as grease payments .

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But speed money is used to hasten the time period .

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The correct answer is speed money .

3 0
2 years ago
High-risk or major functions are addressed in the first cycles there by delivering an operational product. Which of the sdlc pro
Lady bird [3.3K]

The SDLC process models achieves the above function is Incremental model. Thus, option (d) is correct.

<h3>What is risk?</h3>

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Incrementalism Model SDLC is a subset of a bigger system that divides a project into releases and then incrementally adds capability to each build.

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Your question is incomplete, but most probably the full question was….

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6 0
1 year ago
The budget director for Kanosh Cleaning Services prepared the following list of expected selling and administrative expenses. Al
Svet_ta [14]

Answer:

Explanation:

c. Determine the amount of prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter.

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3 0
2 years ago
. Suppose that a car dealer has a local monopoly selling Volvos. It pays w to Volvo for each car that it sells, and charges each
kicyunya [14]

Answer:

The dealer will sell 15 Volvos

Explanation:

Consider the following formulas to calculate the Q of which optimize the exercise.

Profit = Q*p

Profit = (30-q)*q

Profit = 30q - q^2

Differentiating with respect to q, we get

30-2q = 0

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The dealer will sell 15 Volvos

6 0
3 years ago
A company has two divisions and evaluates management using return on investment. Division 1 currently makes a part that it sells
Anton [14]

Answer:

c. Division 1 should continue to do business with Division 2 because Division 1's variable cost per part is only $18.

Explanation:

Since the variable cost per part is only $18 and Division 1  sells to Division 2 at $25, it is in the company's overall interest that business should continue between the two divisions.

The cost of getting the part from outside is $26.  This will incur more cost to the company and create excess capacity for Division 1.

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7 0
3 years ago
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