Answer: $2000
Explanation:
From the question, we are informed that Development Associates (DA) agrees to buy five acres of land from Eastside Properties for $15,000 and that Eastside fails to go through with the deal on the agreed date, when the market price of the land is $17,000.
The amount that will be recovered by Development Associate will be the difference between the market price of the land on the agreed date and the initial amount that DA wanted to pay
This will be:
= $17,000 - $15,000
= $2000
Answer:
$14
Explanation:
Fee from customers = $4
Fee from producer = $10
Total Fee income received = 10+4 = $14
$14 should be recognized as income for each Riverdance ticket sold.
Ticket Now has sold the ticket (which is assumed to be nonrefundable) and it has performed what is required (to sale the tickets), so recognize the revenue of $14.
Answer:
$7,000
Explanation:
The computation of the amount of purchasing department allocated to assembly department is shown below:
= Total purchasing department cost × number of purchase order ÷Total numbers of purchase orders in overall operating departments
= $35,000 × 4 ÷ 20
= $7,000
The 20 number of purchase orders is come from
= 16 + 4
= 20
We simply applied the above formula
Answer: The journal entries for each of the transactions are:
a) Debit Credit
Bad debt expense $10,550
Allowance for doubtful accounts $10,550
b) Debit Credit
Allowance for doubtful accounts $1,100
Accounts receivable $1,100
Explanation:
a) There was already an existing un-adjusted balance in the allowance for doubtful accounts of $10,800, meanwhile Blackhorse has estimated the amount to be $21,350 based on aging method. Simply subtract $10,800 from the $21,350 to arrive at $10,550. The above entries apply to recognize this additional provision.
b) Subsequent to year end, there was a write-off of $1,100, this means the accounts receivable balance would be reduced by this amount; same applies to the buffer (allowance account). The entries above apply.
Answer:
An annuity that pays $1,000 at the beginning of each year
PTM of the annuity selling for 2,541.15 $ 437.50
Present value of the Jackpot: $62,063,701
Explanation:
Because is at the beginning, the 1,000 will be generating interest right away.
So even the 500 at the beginning will have a slightly higher rate, it cwon't compensate the 1,000 upfront.
<u>Calculate the annual payment:</u>
PV $ 2,514.15
time 8 years
rate 8% = 0.08
PTM $ 437.50
jackpot present value of an annuity-due (payment at beginning)
PTM $10,000,000
time 8 years
discount rate 0.08
PV $62,063,700.5922