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AnnZ [28]
3 years ago
10

The balance of the Allowance for Doubtful Accounts account at January1 of the current year was $6,800. During the year, accounts

receivable in the amount of $9,000 were written off. Estimated uncollectible accounts expense using the percentage-of-sales basis for the year amounts to $7,200. The balance of the Allowance for Doubtful Accounts account to be reported on the balance sheet at year-end is
(A) $7,200.
(B) $5,000.
(C) $14,000.
(D) $8,600.
Business
1 answer:
Stella [2.4K]3 years ago
7 0

Answer:

Given:

Accounts receivable = $9,000

Allowance for Doubtful Accounts (current year) = $6,800

Estimated uncollected accounts expense = $7,200

The balance of the Allowance for Doubtful Accounts to be reported on the balance sheet at year-end can be computed as:

Allowance for Doubtful Accounts (at year end) = Allowance for Doubtful Accounts (current year) + Estimated uncollected accounts expense - Accounts receivable

Allowance for Doubtful Accounts (at year end) =  $6,800 + $7,200 - $9,000

Allowance for Doubtful Accounts (at year end) =  $5,000

∴ <em><u>The balance of the Allowance for Doubtful Accounts to be reported on the balance sheet at year-end is $5,000.</u></em>

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8 0
3 years ago
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Based on the information given, when selling the 100th widget, the firm will always receive less marginal revenue on the 100th widget than it received on the 99th widget. The marginal revenue is the increase in revenue based on an additional unit of output that's sold.

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The SWOT analysis is useful due to the fact that it relates to situational analysis or assessment.

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