B. extracurricular activities!
Answer:
$18,400
Explanation:
A/R $20,100
Less: Allowance for doubtful accounts ($1,700)
net realizable value of A/R $18,400
The write off amount is already included in allowance for doubtful accounts on provision basis therefore it can't be separately deducted again.
Answer:
The bad debts would be debited with $5,000.
Explanation:
The bad debts under the allowance method is calculated by either as a percentage of accounts receivables or as a percentage of sales.
Percentage of Sales method:
In the percentage of sales method the allowance is calculated as below:
Allowance for doubtful debts = Sales * Percentage for doubtful debts
Allowance for doubtful debts = $500,000 * 1% = $5,000
Now always remember that this amount will be used only and their is no need to include the allowance for doubtful accounts balance.
Whereas on the other hand, in the percentage of accounts receivable method the allowances are included in the amount calculated.
The entry would be:
Dr Bad Debt Expense $5000
Cr Allowance for Doubtful Debts $5000
Answer and Explanation:
The journal entry to record the impairment is as follows:
Loss on impairment of equipment $223,000 ($583,000 - $360,000)
To Accumulated depreciation- Equipment $223,000
(Being the impairment is recorded)
Here the loss would be debited as it increased the losses and accumulated depreciation is credited as it decreased the assets
Answer:
198,000
Explanation:
(960000 - 60,000) / 5 = 180k
Deprecation expense = 180,000 x 5 = 720,000
Deprecation expense from January to April = 4/12 x 180000
720 + 75h
