1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Serhud [2]
3 years ago
8

On December 31 of the current year, the unadjusted trial balance of a company using the percent of receivables method to estimat

e bad debt included the following: Accounts Receivable, debit balance of $98,700; Allowance for Doubtful Accounts, credit balance of $1,111. What amount should be debited to Bad Debts Expense, assuming 6% of outstanding accounts receivable at the end of the current year are estimated to be uncollectible?
Business
1 answer:
Ymorist [56]3 years ago
3 0

Answer: $4,811

Explanation:

Assuming 6% of outstanding accounts receivable at the end of the current year are estimated to be uncollectible that would be,

= 6% * 98,700

= $5,922

The Allowance for Doubtful Accounts acts as a buffer for the business when bad debts are incurred.

Bad debts are taken from the Allowance as the Allowance has already been removed from the Receivables.

In cases where Bad debts exceed the buffer in the Allowance for Doubtful Debt Account we take everything in it and the remaining bad debt amount is debited to Bad Debt expense.

That would be,

= 5,922 - 1,111

= $4,811

$4,811 is the amount that should be debited to Bad Debts Expense.

You might be interested in
Below, you are provided with four groups of different goods. These goods are differentiated by the number of likely substitutes
gavmur [86]

Answer and Explanation:

The red and the convertible cars would be considered similar i.e. they are perfect substitutes also the car and the convertible car would be the substitutes but it is not a perfect as the convertible car would be the subset of the car group plus the expenditure made on the convertible car would be high so here the elasticity is more

7 0
3 years ago
Suppose an individual makes an initial investment of $2,000 in an account that earns 8.4%, compounded monthly, and makes additio
Akimi4 [234]
Please answer please please thank you so
5 0
3 years ago
A bond's ______ is generally $1,000 and represents the amount borrowed from the bond's first purchaser. A bond issuer is said to
blondinia [14]

Answer:

Maturity value; Default; Sinking fund provision; Call provision.

Explanation:

Maturity value is the sum payable to an investor toward the finish of a debt instrument's holding period (maturity date).

Sinking fund provisions means a provision in some bond indentures requiring the backer to set cash aside to reimburse bondholders at maturity.

A call provision is a provision on a bond or other fixed-pay instrument that enables the guarantor to repurchase and resign its bonds.

8 0
3 years ago
converting quarterly and annual business plans into broad output and labor requirements for the intermediate term is known as:
Nikitich [7]

Converting quarterly and annual business plans into broad output and labor requirements for the intermediate term is known as aggregate planning.

Aggregate planning is a method for developing a business by arranging a management to the production and demands. In this method, the quarterly and annual business plans are converted into broad output and labor requirements for the intermediate term. This intermediate term may last from 4 to 12 months.

In this period of time the company will hire new employees to make enough output to satisfy the demands and thereby maximizing the profit with a minimum cost.

Aggregate planning ensures the efficiency and production of a company. Usually it is done as a prior activity to obtain a continuous production facility.

Learn more about aggregate planning at brainly.com/question/18803972

#SPJ4

5 0
1 year ago
Animated comedy show, American Family, is being broadcast in Houston. A potential advertiser wants to know how popular the show
ZanzabumX [31]

Answer:

The options are given below:

A. 4.3

B. 20

C. 23

D. 46

The answer is C. 23

Explanation:

In order to calculate this, we would need the following:

- Total number of people watching television in Houston households.

- Total number of people watch the show American Family in Houston households.

From the question above, we have:

- Number of households with televisions = 3,300,000

- Number of households watching the show= 759,000.

To calculate the rating, we have:

(759,000/3,300,000) X 100

0.23 X 100

= 23

7 0
3 years ago
Other questions:
  • People who are good leaders also are almost always good managers. <br> a. True <br> b. False
    6·1 answer
  • Holly Farms has sales of $509,600, costs of $448,150, depreciation expense of $36,100, and interest paid of $12,400. The tax rat
    6·1 answer
  • The method used to share an idea with an audience is called what? 6 points
    11·1 answer
  • Lawrence needs to respond to a coworker's email. In a plain text email,the coworker has asked Lawrence a number of questions.Law
    14·2 answers
  • Toyota deciding to issue $175 million in long-term debt is an example of which of the following corporate financial decisions?
    9·1 answer
  • Value is the perception by consumers that a band provides satisfaction greater than the cost incurred to acquire the product or
    14·1 answer
  • Andy deposited $3,000 this morning into an account that pays 5 percent interest, compounded annually. Barb also deposited $3,000
    12·1 answer
  • During its first year of operations, the McCormick Company incurred the following manufacturing costs: Direct materials, $5 per
    6·1 answer
  • On January 1, 2021, the Shagri Company began construction on a new manufacturing facility for its own use. The building was comp
    12·1 answer
  • Carrie billed her legal clients $6,000 for legal work completed during the month. This
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!