Accounts receivable, net of the allowance for doubtful accounts is called net realizable value.
<h3>What is net realizable value?</h3>
Net realizable value is the method of knowing the value of asset that is held as inventory. The purpose of this method is to avoid overstating or understating the value of an goods in inventory.
The net realizable value is the result of deducting the costs incurred in selling the goods from its selling price.
Hence, accounts receivable, net of the allowance for doubtful accounts is called net realizable value.
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In 1679 , New hemisphere was separated from Massachusetts.
New hemisphere become a royal colony of the british crown.
Answer:
2.24 times
Explanation:
The formula and the computation of the current ratio is shown below:
As we know that
Current ratio = Current assets ÷ current liabilities
where,
Current assets = Prepaid rent + office supplies + account receivable + cash
= $2,500 + $1,300 + $6,600 + $3,500
= $13,900
And, the current liabilities is
= Account payable + salaries payable
= $3,600 + $2,600
= $6,200
So, the current ratio is
= $13,900 ÷ $6,200
= 2.24 times
Answer:
Kindly check explanation
Explanation:
Given that :
Initial wealth = $1000
Cost of lottery = $5
Winning = $500
Number of players or tickets = 100
Only one winner can emerge :
P(winning) = 1/100
P(Not winning) = 1 - 1/100 = 99/100
P __ 1/100 _________ 99/100
X : [1000 + (500-5)] ___ (1000-5)
P(X): ____1/100 _______ 99/100
X : _____ 1495 _________995
Expected value E(x) :
E(X) = ΣX*p(x) = (1/100)*1495 + (99/100)*995 = 1000
C.)
Possible winning = $500 ; p(x) = 1/100
Possible loss = - 5 ;p(x) = 99/100
500 * (1/100) = 5
-5 * (99/100) = - 4.95
Σ(5 + - 4.95) = 5 - 4.95 = 0.05
Hence, gamble is favorable since 0.05 > 0
