To record the write-off of receivables:
Allowance for doubtful accounts ----------------------------$24,000
Accounts Receivable -----------------------------------------------$24,000
To record the accounts receivable collected from the written-off receivable, first restore the accounts receivable with the following entry:
Accounts Receivable ------------------------------------------$1,900
Allowance for doubtful accounts ------------------------------$1,900
To record the collection of accounts receivable:
Cash -----------------------------------------------------------------$1,900
Accounts Receivable ----------------------------------------------$1,900
Or, the direct journal entry to record the collection of previously written-off accounts receivable is:
Cash ---------------------------------------------------------------$1,900
Allowance for doubtful accounts ------------------------------$1,900
Answer:
The answer is: Owner is personally liable for all debts of the business.
Explanation:
Sole proprietorship is the oldest type of business, where a single person is the owner of a business.
Some of the advantages of sole proprietorship are:
- the simplest and most flexible business structure.
- owner has complete control and full decision making powers
- easy to close down the business
- profits are taxed at the owner´s tax rate
Some of the disadvantages of sole proprietorship are
:
-
owner is personally liable for all debts of the business
.- if the business goes bankrupt, usually the owner does also
- death or illness of the owner will lead to the end of the business.
- difficulties in raising capital from outside sources
Answer:
C. 20.00 percent
Explanation:
The computation of the accounting rate of return is shown below:
The formula to compute the accounting rate of return is shown below:
= Annual net income ÷ initial investment
where,
Annual net income is
= Net cash flows - depreciation expense
= $12,000 - $6,000
= $6,000
And, the initial investment is $30,000
So, the accounting rate of return on initial investment is
= $6,000 ÷ $30,000
= 20%
The depreciation expense is
= $30,000 ÷ 5 years
= $6,000
Answer:
The correct answer is letter "A": Provide periodic program review and necessary adjustment against gaps and or shortcomings.
Explanation:
Information Governance or IG principles are regulations that look for taking care of information security and control. Ten (10) are the IG principles and Continuous Improvement is the last one. This principle states that the programs reviewed by the IG are being transformed continuously which implies monitoring on a regular basis to avoid business gaps and shortcomings.
Answer:
The two optimal two part price that would be suggested to Verizon is Unit per Fee = $1 and Lump Sum fee or fixed fee = $99
Explanation:
Solution
For us fully maximize profit under two part price It should gives that amount of wireless service at which P = MC and and also charge Lump sum fee or fixed fee equals to the consumers surplus that consumer will have.
Now,
marginal cost= MC = 1 and P = 100 - 25Q.
Thus,
P = MC => 100 - 25Q = 1 => Q = 2
Then,
The Consumer surplus is the above area Price of line which is (iP = 1) and below is the curve of demand
Now,
P = 100, When Q = 0 The Consumer surplus = (1/2)*base*height
= (1/2)*(100 - 1)*2 = 99
Therefore, Fixed fee or The Lump Sum fee = 99
However, the Optimal two part pricing is denoted by:
The Unit per Fee = $1 and Lump Sum fee or fixed fee = $99
