Answer:
The amount of $8,707,170 of cash and cash equivalents to be reported on Eastwood Co.
Explanation:
Cash reported December 31,2014 = Commercial savings account + Commercial checking account + Money market fund + Petty cash fund + Commercial paper + Currency and coin on hand
=$698,340 + $830,320 + $5,044,440 + $1,900 + $2,124,020 + $8,150
= $8,707,170
Therefore, The amount of $8,707,170 of cash and cash equivalents to be reported on Eastwood Co.
Answer:
Minimising risk of loss
Explanation:
One of the most significant values of investment is to guarantee that you have a extended portfolio. The key advantage of constructing a portfolio is that it helps in Limiting danger of misfortune. If one venture performs ineffectively over a specific period, different speculations may perform better over that equivalent period, decreasing the potential misfortunes of your venture portfolio from concentrating all your capital under one kind of speculation.
Answer:
Debit : Allowance for doubtful debts = $2900
Credit : Accounts receivables = $2900
Explanation:
An account for allowance for doubtful debts is a contra account created, predicting that certain debtors will not be able to pay for the goods and services they purchased. This may be based on historical experiences. Doubtful debts aren’t officially uncollectible, it is simply an estimation made, but bad debts are, where you have officially written off a certain accounts receivable as uncollectible.
An allowance for doubtful debts is recorded in the balance sheet, directly under accounts receivables. Bad debts are recorded as an expense in the income statement. When there is an allowance for doubtful debts, the bad debts account is debited and the allowance for doubtful debts account is credited.
According to the question, the balance was $2,200 (Cr) in the allowance for doubtful debts account. The initial expected amount for allowance for doubtful debts was $5100 (Cr). This means that the difference was the amount that was declared as uncollectible and officially written off i.e. bad debts. Thus $2900 ($5100 -$2200) would have been confirmed as bad debts.
The entry to record the above transaction is:
Debit : Allowance for doubtful debts = $2900
Credit : Accounts receivables = $2900
Answer: Inquiry
Explanation:
According to the given question, by using the procedure of the business process for making the various types of decisions and the Trevor should perform the inquiry process for determining the ethical and some legal issues.
The inquiry is one of the type of approach that is helps in developing the problem solving ability and also the information processing.
It is the process that has ability for resolving various types of problems or ussies by implementing a compliance policies.
Therefore, Inquiry is the correct answer.
