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3 years ago

One might infer from a debit balance in allowance for doubtful accounts that

Business

1 answer:

shtirl [24]3 years ago

3 0

Answer:

The answer is:

More accounts have been written off than had been estimated

Explanation:

Doubtful debt or bad debt is an expense. According to the rule of accounting, debit increases an expense while debit decreases an expense.

So the debit balance balance in allowance for doubtful accounts tells us that there is an increase in expense which means that more accounts(bad debt) have been written off.

So we can infer from the debit balance that more accounts have been written off than had been estimated

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Diego, age 28, married Dolores, age 27, in 2017. Their salaries for the year amounted to $88,750 and they had interest income of

viva [34]

Answer and Explanation:

a. What is the amount of their adjusted gross income?

Adjusted Gross Income ( AGI ) = $88,750 + $2,660 - $5,170

= $86,240

Adjusted Gross Income ( AGI ) = $86,240

b. In order to minimize taxable income, Diego and Dolores will in the amount of

From the above box, Here Diego, Dolores both are married so, Standard Deduction in 2017 is $12,700

In order to minimize taxable income, Diego and Dolores will in the amount of $12,700

c. What is the amount of their taxable income?

Taxable income = AGI - Standard deduction - exemptions

= $86,240 - 12,700 - [ 2 * $4,050 ]

= 73,540 - 8,100

= $65,440

Taxable income = $65,440

d. What is their tax liability for 2017?

from Tax bracket for married filling jointly in 2017 table.

Tax liability = [ 18,650 * 10% ] + [ 15% [ 65,440 - 18,650 ] ]

= 1,865 + [ 15% * 46,790 ]

= 1,865 + 7,018.5

= $8,883.5

Tax liability = $8,883.5

4 0

3 years ago

Andre's Dog House had current assets of $67,200 and current liabilities of $71,100 last year. This year, the current assets are

e-lub [12.9K]

Answer:

$1400

Explanation:

Net working capital is obtained by subtracting total current liabilities from total current assets. Current assets and liabilities are expected to be used or paid within one year.

Change in net working capital would be the change in current assets - change in current liabilities.

last year current assets $67,200 : current liabilities $71,100

This year current assets $82,600 : current liabilities $85,100

change Net operating capital = {$82,600- 67,200} - {85,100 - 71,100}

=$15,400 -14,000= -$1400

Change in networking capital = $1400

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3 years ago

Suppose the benefit of owning a painting, in terms of your personal enjoyment, is worth 5% of the value of the painting. If the

Julli [10]

Answer:

Explanation:

It would grow by 7% each year which is the rate of return on stocks

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3 years ago

Palmetto regional hospital has designed an upcoming research project for determining the best methods for improving patient care

Lina20 [59]

<span>The next step the organization must take in the marketing research process is "Collecting data".
</span>

The Marketing research process refers to an arrangement of five stages which characterizes the errands to be expert in directing an advertising research study. These incorporate issue definition, building up a way to deal with issue, look into plan detailing, field work, information planning and investigation, and generating report and introduction.

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3 years ago

Mercury Corporation issued 7,000 shares of no-par common stock for $15 per share. Mercury also issued 2,800 shares of $70 par, 6

inessss [21]

Answer:

Issue of 7,000 shares of no-par common stock for $15 per share

Financing Activity (FA).

Issue of 2,800 shares of $70 par, 6 percent noncumulative preferred stock at $80 per share

Financing Activity (FA)

Explanation:

Issue of 7,000 shares of no-par common stock for $15 per share

This represents capital funding and is included in the Cash Flow Statement as Cash Flow from Financing Activity.

Issue of 2,800 shares of $70 par, 6 percent noncumulative preferred stock at $80 per share

This transaction also represents capital funding and is included in the Cash Flow Statement as Cash Flow from Financing Activity.

7 0

3 years ago

Read 2 more answers