Bad debt expense is an operating expense. An increase in operating expenses decreases income from operations.
When a receivable is no longer collectible as a result of a customer's inability to pay an outstanding debt due to bankruptcy or other financial issues, a bad debt expense is recorded. Companies that offer credit to their customers record bad debts as an allowance for doubtful accounts, also referred to as a provision for credit losses, on their balance sheet.
The basic idea behind bad debt expense is the same as that behind all accounting principles: it enables businesses to completely and accurately report their financial position. Almost every business will encounter a customer who is unable to pay at some point, and they will need to record a bad debt expense.
Learn more about bad debt here:
brainly.com/question/29343346
#SPJ4
Answer:
Russia and China used to be command economy with the property rights lying solely with the government and the means of production, except labour were owned entirelyby the government. However, the command economy demanded long term planning that needed to be ultra accurate.moreover the system it self gave rise ro bureaucracy and dictatorial regimes, increasing the power centralization and the state corruption and lessening the innovative spirit of the nation.
Capitalism got rid of most of the problems in the command economy. It was accompanied by the democratic reforms in Russia and this led to more transparency. Moreover, the capitalist style social market economy in China introduced private ownership and Entrepreneurship l along with the concept of state owned companies.
In addition, the function of the price mechanism was pivotal as well. Instead of thorough and detailed planning, the resources were distributed by the price and the market demand and supply.
Explanation:
<span>A reduction in pricing does not necessarily increase overall revenue earned from a product.
Thank you for posting your question here at brainly. I hope the answer will help you. Feel free to ask more questions.
</span>
Answer:
Increase in wages
Explanation:
Nowadays we can see that the demand for digital media is increasing immensely, due to which there is also a greater need for a web developer who designs and runs a digital media platform.
Web developers are being paid more salary and wages, due to their high requirement, they get fair wages and also get more employment opportunities.
Answer:
The price per share today is a.$9.49
Explanation:
The value of the stock today can be calculated using the constant growth model of the DDM. The constant growth model is applicable when dividend are growing at a constant rate forever. the growth rate here is negative thus g will be -1.15%
The formula for Constant growth model is,
Price = D1 / r - g
Using the formula, we calculate the price per share today to be:
Price = 1.58 / (0.155 + 0.0115)
Price = $9.49
