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RoseWind [281]
3 years ago
11

Sunland Company uses the percentage-of-receivables basis to record bad debt expense and concludes that 3% of accounts receivable

will become uncollectible. Accounts receivable are $435,700 at the end of the year, and the allowance for doubtful accounts has a credit balance of $2,653. (a)Prepare the adjusting journal entry to record bad debt expense for the year. (b)If the allowance for doubtful accounts had a debit balance of $827 instead of a credit balance of $2,653, prepare the adjusting journal entry for bad debt expense.
Business
1 answer:
Lelechka [254]3 years ago
5 0

Answer:

Provided Below

Explanation:

Journal entries

(a)    

Date General Journal   DEBIT ($)   CREDIT ($)

Bad Debt Expense          10,418.00  

Allowance for Bad Debts                   10,418.00

(b)    

Date General Journal   DEBIT ($)   CREDIT ($)

Bad Debt Expense          13,898.00  

Allowance for Bad Debts                  13,898.00

Explanation  

(a) 3% of accounts receivable uncollectible = $435,700*3% = $13,071  

Credit balance of allowance for doubtful accounts = $2,653  

Hence, Bad Debt Expense = 13,071 - 2,653 = $10,418  

(b) 3% of accounts receivable uncollectible = $435,700*3% = $13,071  

Debit balance of allowance for doubtful accounts = $827  

Hence, Bad Debt Expense = 13,071 + 827 = $13,898

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Raphael and Martina are engaged and are planning to travel to Las Vegas during the 2019 Christmas season and get married around
Tanzania [10]

Answer:

It would be better to get marry on 2019 that way they will saved in income taxes $138

Explanation:

We have to compare their two single taxable income

against marry filing jointly:

<u>Martina:</u>

15,000 - 12,200 standard deduction = 2,800

It willbe taxed at 10% = 280

<u>Raphael:</u>

45,000 - 12,200 standard = 32,800

It will be taxed 10% of 9,700 = 970

and 12% above: (32,800-9,700) x 12% = 2,772

total income tax for Raphael: 3,742

Total if married in 2020: 4,022

<u>Jointly:</u>

60,000 - 24,400 = 35,600 taxable income

it will be taxes at 10% for the first 19,400 = 1,940

and at 12% for the above: (35,600 - 19,400) x 12% = 1,944

Total: 3.884‬

Difference:

4,022 - 3,884 = 138

3 0
3 years ago
Which of the following can impact your credit score
stealth61 [152]

Answer: B. your Debt to Credit ratio

Explanation:

Your debt to credit ratio is important to lenders because it shows whether you spend wisely when given debt.

Debt to credit is measured as the percentage of debt you have given your credit limit. If for instance you have a credit card limit of $50,000 and have debt of $10,000, your debt to credit ratio is:

= 10,000/50,000 * 100

= 20%

Generally the lower this ratio, the better the contribution to your credit score.

7 0
3 years ago
In three years, when he is discharged from the Air Force, Steve wants to buy an 8,000 power boat.
eduard

Steve will get $11360 with the process of simple interest.

<h3>what is simple interest?</h3>

Simple interest is calculated based on a loan's principal or the initial deposit into a savings account. Simple interest doesn't compound, therefore a creditor will only charge interest on the principal sum, and a borrower will never be required to pay further interest on the interest that has already accrued.

Rate of interest = 14%

principal + interest = $8000

Time = 3 years

Simple interest

=\frac{8000 \times 3 \times 14}{100}\\=3360

Now principal + interest = 8000+3360 = 11360

Therefore, Steve will get $11360.

To learn more about simple interest from the given link

brainly.com/question/25793394

#SPJ4

4 0
2 years ago
During 2020, Lincoln Company hires seven individuals who are certified to be members of a qualifying targeted group. Each employ
Montano1993 [528]

Answer:

$16,800

Explanation:

Calculation to determine what Lincoln Company's work opportunity credit is

Work opportunity credit= $6,000 * .40 *7

Work opportunity credit = $16,800

Therefore Lincoln Company's work opportunity credit is $16,800

7 0
2 years ago
6. What do you pay for a twelve-ounce can? What are the real social costs of producing a can of Coke – in terms of water, power
VladimirAG [237]

Answer and Explanation:

To pay for a twelve ounce can it costs between 50 cents to a dollar. The social costs of producing a can coke, in which 9 liters of fresh water is used which effects fresh water supply on earth due to its contamination. The cost of making coke :costs more higher, where it has to maintain its employees, buildings, its road transportation, garbage disposal, and many more. People who are living near the coke plant building pays all these costs, and all people pays a equal part as it is taking from earth.

4 0
3 years ago
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