Answer:
Explanation:
The journal entry to record the bad debt expense is shown below:
Bad debt expense A/c Dr $11,181
To Allowance for doubtful debts $11,181
(Being bad debt expense is recorded)
The computation of the bad debt expense is shown below:
= (Accounts receivable × estimated percentage given
) - (credit balance of Allowance for Doubtful Accounts)
= ($206,300 × 7%) - ($3,260)
= $14,441 - $3,260
= $11,181
The risk measurement approach that examines the impact of a change in the value of a variable on a selected outcome variable, assuming all other variables are held constant is known as sensitivity Analysis.
<h3>What is meant by sensitivity analysis?</h3>
Sensitivity analysis is the study of how different sources of input uncertainty can be split and assigned to the output uncertainty of a mathematical model or system.
Sensitivity analysis is a type of financial model that assesses the impact of changes in input variables on target variables. This model is also known as a simulation analysis or a what-if model. It is a technique for forecasting a decision's outcome given a set of relevant factors.
Sensitivity Analysis is a method of risk measurement that considers the effects of changing one variable's value on a particular outcome variable while maintaining the same values for all other variables.
To learn more about sensitivity Analysis refer to:
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Answer:
16
Explanation:
i think 16 im not sure though. hope i helped:)
Answer:
Externalities can be defined as those activities that incurs cost on another party.
Road congestion creates externalities such as increased time for travel, more pollution in a city, more likelihood of accidents, more stress for road users.
This externaliity is caused because road users think of the private benefits that they can get from using the road but they do not take the social cost into account. We have lots of drivers on the road and non of these drivers takes cognizance of the cost that other drivers get because of this.
If road are private, congestion is going to fall and there would be excludability. But this is a public good, turning it to a private good would cause issues. Private markets benefits out is positive externalities.