Explanation:
The journal entries are shown below:
On November 17
Account receivable A/c Dr $99,000
To Sales revenue A/c $99,000
(Being the goods are sold on credit)
The computation is
= 200 units × $660 × (1 - 0.25)
= $99,000
On November 26
Cash A/c Dr $97,020
Sales Discount A/c Dr $1,980
To Accounts receivable $99,000
(Being cash received recorded)
The computation of the discount would be
= Accounts receivable × given percentage
= $99,000 × 2%
= $1,980
The remaining amount would be debited to the cash account.
Answer:
C Cash and cash equivalents
Explanation:
For Cash equivalent, you must understand that is less than 90 days short term-investment which must be readily for convertible to a known amount of cash and practically no risk, again, within 90 days
Source: IFRS IAS 7 Statement of Cash Flows—identification of cash equivalents
Answer:
c. the analysis of receivables method.
Explanation:
In accounting for uncollectible receivables, the balance in Allowance for Doubtful Accounts will directly impact the amount of the adjustment when applying the analysis of receivables method.
The uncollectible account for receivables includes loans, credit sales or other debts that the business isn't expecting payment for and they are recorded as bad debt expense on the balance sheet.
The allowance for doubtful account method is used to account for the bad debt expense, and recorded before the bad debt occurs.
Basically, there are two (2) main methods of determining uncollectible accounts for receivables under the allowance method, these are;
1. The analysis of receivables method.
2. The percentage of sales method.
In this scenario, we are more concerned with this;
The analysis of receivables method is used to determine uncollectible account for receivables based on the age of respective accounts receivable.
Answer:
122,500
Explanation:
The formula for cashflow from operations (CFO) calculated by indirect:
CFO = NI + NCC - WCInV, where:
<em>NI: Net income;</em>
<em>NCC: Non-cash charges, which is depreciation in this exercise;</em>
<em>WCInv: Working capital investments, which is calculated as Changes in inventories + Changes in receivables - Changes in payables.</em>
Putting all the numbers together, we have:
CFO = 109,000 + 18,300 - [(-14,800)-(-19,600)] = 109,000 + 18,300 + 14,800 - 19,600 = 122,500
<em>Note: Gain on disposal of equiment is a part of cash flow from investing activities rather than operating activities.</em>
Answer:
Three other selection measures to be used to select my targeted employees are:
1. Customer relationship skills: This is the most important of all the selection criteria. As an employee in a hospitality and tourism sector such as a resort center, having good customer service skill is very important because, customer service is basically what is marketed in this sector. Customers pay a lot of money for these services in international hotels and if they are not treated to their satisfaction, could easily be frustrated, and that can lead to a reduction in the hotel's rating. An example is in the case of a newly arriving customer from another country, this person is probably stressed and jet lagged and needs to get some rest as soon as possible. In this case, the receptionist is supposed to attend to the customer very fast and should understand that the customer might get angry or easily irritated. No matter what, the receptionist is to be as calm and polite as possible, and should be empathetic with the customer.
2. Multi lingual abilities: In an international resort, the ability to communicate with customers is the soul of the business. Customers in this line of business are usually from diverse cultures and languages, which should never be a barrier. Employing employees skilled in some major languages will be very useful as they can help bridge the communication gap between the resort and the customers. An employee skilled in dutch can easily cater to European customers from Germany, the Netherlands and even Austria.
3. A good knowledge of the region: Employees with a very sound knowledge of the resort region will be more effective in rendering better service to the customers. As a resort center, most customers are here for holidays, vacations, honeymoons, etc. These customers ask a lot of questions, especially about the region, and they expect any employee around them to give them a very good and factual answers to their questions. It wont be appealing to the customers if an employee does not know much about the region and cant attend to their questions.