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Basile [38]
3 years ago
15

During its first year of operations, mack's plumbing supply co. had sales of $630,000, wrote off $10,100 of accounts as uncollec

tible using the direct write-off method, and reported net income of $69,300. determine what the net income would have been if the allowance method had been used, and the company estimated that 1 3/4% of sales would be uncollectible.
Business
1 answer:
Reil [10]3 years ago
3 0
<span>The answer is 516,250 by first calculating expenses (6,500,000-40,000-expenses=590,000), net income = revenue-expenses.</span>
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