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Charra [1.4K]
3 years ago
7

Question number q 5.8: a company has a policy to sell goods on account with terms of 2/10, n/30. if a customer purchased $100 of

merchandise from this company for cash instead of on account, the customer would pay
Business
1 answer:
sdas [7]3 years ago
6 0
<span>Question number q 5.8: a company has a policy to sell goods on account with terms of 2/10, n/30. if a customer purchased $100 of merchandise from this company for cash instead of on account, the customer would pay</span>
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2/31/2020: During 2020, $10,000 in accounts receivable were written off. At the end of the second year of operations, Yolandi Co
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Answer:

$395,000

Explanation:

Bad Debt expense:

= 1.5% of sales will be uncollectible

= 1.5% × $1,000,000

= 0.015 × $1,000,000

= $15,000

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3 years ago
A family spends $40,000 on living expenses. With an annual inflation rate of 6 percent, they can expect to spend approximately _
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Answer: $42,400

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The family currently spends $40,000 on living expenses.

Inflation is expected to be 6% and as Inflation is used to refer to the general rise in prices, this means that the family will be spending 6% more in one year.

They will therefore be spending;

= 40,000 * (1 + 6%)

= $42,400

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Consider a project with an initial investment of $30,000, annual revenues of $7000 for the six-year useful life, a salvage value
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