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
erica [24]
4 years ago
10

Marmol Corporation uses the allowance method for bad debts. During year 1, Marmol charged $30,000 to bad debt expense, and wrote

off $25,200 of uncollectible accounts receivable. These transactions resulted in a decrease in working capital of:
a. $0
b. $4,800
c. $25,200
d. $30,000
Business
1 answer:
4vir4ik [10]4 years ago
4 0

Answer: Option (d)

Explanation:

Under this case the write off will be as follow:

                                                                      Debit         Credit

Allowance for doubtful accounts                25,200  

Accounts receivables                                                     25,200

Here, in this case the Allowance for the doubtful accounts and Accounts receivables are further decreased as the outcome of the transaction made. Thus, there will be no further effect on working capital. Therefore the $30,000 that is bad debt would then be stated as the credit to allowance account. This will then decrease the working capital by $30,000.

You might be interested in
The presence of media hubs, coalitions focusing on specific environmental challenges, and headquarters for multinational corpora
I am Lyosha [343]

Answer: B

Explanation: Are linked globally in ways that transcend national political boundaries

4 0
3 years ago
Read 2 more answers
"If Lazer Co. desires to lock in the maximum it would have to pay for its net payables in euros but wants to be able to capitali
Crazy boy [7]

Answer:

D) purchasing euro call options.

Explanation:

If Lazer purchased euro call options it would be basically buying the right to purchase euros at a specified currency exchange rate. This way Lazer would know what is the maximum amount it will have to pay for the euros it needs to cover its debts. The call option give the buyer the right to purchase the euros but not the obligation, so if the euro depreciates, then Lazer can simply decide to not use the call option.

5 0
3 years ago
Marigold Corp. took a physical inventory on December 31 and determined that goods costing $155,000 were on hand. Not included in
patriot [66]

Answer: $‭204,800‬

Explanation:

When a good is shipped FOB shipping point, it means that the buyer assumes responsibility for the goods as soon as the goods reach the place they will be shipped from. The purchase from Pelzer should therefore be included in inventory because it has already been shipped.

A good shipped FOB Destination means that the buyer only assumes responsibility after the goods have been delivered to them. As the sale to Alvarez was still in transit, it is still the responsibility of Marigold and should be included in inventory.

Inventory is therefore:

= 155,000 + 28,000 + 21,800

= $‭204,800‬

3 0
3 years ago
Suppose the government wants to reduce cigarette consumption to 200 billion packs per year. The government could achieve this by
irakobra [83]

The government could achieve reduction of cigarette consumption to by imposing a per-unit tax on cigarettes of 200 billion packs per year

<h3>What can Taxation achieve?</h3>

A taxation refers to compulsory levies on individuals, business by the governments on their income, operation etc.

In conclusion, apart from the revenue that tax generates for the government official, its also serves as tool for controlling consumption.

Read more about taxation

<em>brainly.com/question/25783927</em>

5 0
2 years ago
Match the cost variance component to its definition.
Komok [63]

Answer:

1. D

2. A

3. C

4. B

Explanation:

Price can be defined as the amount of money that is required to be paid by a buyer (customer) to a seller (producer) in order to acquire goods and services.

In sales and marketing, pricing of products is considered to be an essential element of a business firm's marketing mix because place, promotion and product largely depends on it.

In Accounting, costing is the measurement of the cost of production of goods and services by assessing the fixed costs and variable costs associated with each step of production.

The various types of cost variance components and their definition includes the following;

1. Standard price: the expected price

2. Actual quantity: the input used to manufacture the quantity of output

3. Actual price: the amount paid to acquire input

4. Standard quantity: the expected input for the quantity of output

3 0
3 years ago
Other questions:
  • The "Brasher doubloon," which was featured in the plot of the Raymond Chandler novel, The High Window, was sold at auction in 20
    5·1 answer
  • State or federal codes that specifically apply to businesses are called: A. franchise law B. patent law C. business law D. tax l
    14·2 answers
  • At the pregame conference, the plate umpire asks both head coaches if they have listed all their substitutes on the lineup card.
    10·1 answer
  • How has the steam engine changed over time?
    14·1 answer
  • The level to which productive resources are used efficiently is called _______.
    15·1 answer
  • What could you do if your expenses each month continue to be more than your income ?
    11·1 answer
  • Amanda's Interior Design has credit sales of $783,000, costs of goods sold of $418,000, and average accounts receivable of $107,
    10·1 answer
  • A put option gives its owners the right, but not the obligation, to: buy a commodity at a specified price and future date, at wh
    8·1 answer
  • A mortgage clause that states that the mortgage is due and payable upon certain conditions, such as non-payment is: Select one:
    12·1 answer
  • Price discrimination is not viable if consumers can resell the products they purchase. true or false
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!