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
alexdok [17]
3 years ago
14

During the​ year, Sheldon Company had net credit sales of $ 47 comma 000. At the end of the​ year, before adjusting​ entries, th

e balance in Accounts Receivable was $ 11 comma 500 ​(debit) and the balance in Allowance for Bad Debts was $ 670 ​(credit). If the company uses an income statement approach to estimate bad debts at 4​%, what is the ending balance in the Allowance for Bad Debts​ account?
Business
1 answer:
Maru [420]3 years ago
4 0

Answer:

The balance of allowance for doubtful accounts is $ 1,880

Explanation:

Computation of balance in Allowance for Bad Debts

Total credit sales                                             $ 47 comma 000

Estimated bad debts as a % of sales                     4 %

Balance of Allowance for Doubtful accounts      $ 1,880

The balance is based on a % to credit sales basis. The bad debts expense for the year considers the balance in the allowance for doubtful accounts and the accounting entry is an adjustment amount.

You might be interested in
Given the following linear demand forecast: Demand = 50 + 10 X (where X is the desired forecast period), what is the predicted f
Irina18 [472]
Explainnnnnnn 3> explain
7 0
3 years ago
Why is one dollar now worth more than one dollar in the future?
Galina-37 [17]
Because then there will be a limited amount of supplies and resources on Earth, so the value will be rare and expensive.
4 0
3 years ago
True or false: Sometimes if a buyer does not want to develop its own supplier certification program, it will accept standard ind
shepuryov [24]

Answer:

True

Explanation:

The ISO 9000 management systems helps organize to meet buyers needs within regulation and requirements related to a service. A industry certifications can be used to hire and train workers.

5 0
2 years ago
Parker Corp., which operates on a calendar year, expects to sell 3,000 units in October, and expects sales to increase 10% each
pogonyaev

Answer:

total revenue = is 99300

Explanation:

given data

expects to sell in October = 3,000 units

expects sales to increase  = 10%

Sales price stay constant = $10 per unit

solution

we get revenue hereby the sum of revenue of oct + nov + dec

revenue = price × quantity    .........................1

total revenue = is 99300

8 0
2 years ago
Central banks are responsible for the collection and the replacement of currency from circulation.
Dmitriy789 [7]

Answer:

The correct answer is letter "A": True.

Explanation:

Central banks are the financial institutions in charge of the monetary policy of their country on behalf of the central government. They regulate the money supply and the interest rates to maintain a country's economy the closest to its equilibrium level. In the United States, the central bank is the Federal Reserve (<em>Fed</em>). Central banks also collect and replace the currency in circulation.

4 0
3 years ago
Other questions:
  • Plus Company uses the estimate of receivables method of accounting for uncollectible accounts. Plus Co. estimates that $4412 of
    11·1 answer
  • If you cause a car accident, which type of insurance will require you to pay the least out of pocket?
    5·1 answer
  • Companies may have several reasons for creating joint ventures. Which of the following statements is one reason why firms may de
    13·1 answer
  • The following transactions are for Oriole Company.
    8·1 answer
  • Boards Inc. fabricates skateboards that the company sells for $ 37.50 each. Fixed costs for the last 12 months equaled $4,800. F
    14·1 answer
  • Economic agents who borrow funds are known as debtors ​, the funds that they borrow are referred to as credit ​, and this activi
    7·1 answer
  • Paula owns a variety store in a tourist town. The store recently went online, and the response has been remarkable. The store’s
    8·1 answer
  • In the contracting process, a licensee must be careful to:__________
    7·1 answer
  • (1 point) When one rents an apartment, one is often required to give the landlord a security deposit that is returned if the apa
    15·1 answer
  • Currently, U.S. currency is a. fiat money with intrinsic value. b. fiat money with no intrinsic value. c. commodity money with i
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!