1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mamaluj [8]
3 years ago
11

A company has $91,000 in outstanding accounts receivable and it uses the allowance method to account for uncollectible accounts.

Experience suggests that 5% of outstanding receivables are uncollectible. The current balance (before adjustments) in the allowance for doubtful accounts is a(n) $810 debit. The journal entry to record the adjustment to the allowance account includes a debit to Bad Debts Expense for:
Business
1 answer:
lilavasa [31]3 years ago
8 0

Answer:

$5,360

Explanation:

The adjusting entry is shown below:

Bad debt expense  $5,360

       To Allowance for doubtful debts  $5,360

(Being the bad debt expense is recorded)

For recording this we debited the bad debt expense as it increased the expenses and credited the allowance for doubtful accounts as it reduced the assets

The computation is shown below:

= $91,000 × 5% + $810

= $5,360

You might be interested in
Material delays have routinely limited production of household sinks to 400 units per day. If the plant efficiency is 80%, what
andreev551 [17]

Answer:

Effective capacity= 500 units

Explanation:

Effective capacity is defined as the maximum amount of product a manufacturing process can complete in a given period. Considering constraints such as delays, quality problems, and material handling.

Effective capacity is dependent on the design of the system. Design capacity is defined as the theoretical capacity of a system based on its design.

Effective capacity is calculated by dividing the actual capacity by efficiency.

Effective capacity= Actual Capacity/ Efficiency

Effective capacity= 400/0.8

Effective capacity= 500 units

5 0
3 years ago
Partially amortizing mortgage loans require periodic payments of principal, but are not paid off completely over the loan's term
goblinko [34]

Answer:

A. balloon payment

Explanation:

This may also help:

https://quizlet.com/211116766/fin-370-chapter-15-flash-cards/

5 0
3 years ago
PackMan Corporation has semiannual bonds outstanding with nine years to maturity and are currently priced at $754.08. If the bon
Ann [662]

Answer:

b. 8.225%

Explanation:

In this question, we use the Rate formula which is shown in the spreadsheet.  

The NPER represents the time period.  

Given that,  

Present value = $754.08

Assuming figure - Future value or Face value = $1,000  

PMT = 1,000 × 7.25% ÷ 2 = $36.25

NPER = 9 years × 2 = 18 years

The formula is shown below:  

= Rate(NPER,PMT,-PV,FV,type)  

The present value come in negative  

So, after solving this,  

1. The pretax cost of debt is 11.75%

2. And, the after tax cost of debt would be

= Pretax cost of debt × ( 1 - tax rate)

= 11.75% × ( 1 - 0.30)

= 8.225%

8 0
3 years ago
Quick assets include which of the following? Multiple Choice Market securities, receivables, and inventories. Cash, marketable s
just olya [345]

Answer:

The correct answer is letter "C": Cash, marketable securities, and receivables.

Explanation:

The quick assets of a company can easily be converted into cash. Quick assets include <em>cash, account receivables, </em>and<em> marketable securities</em>, which are equity and debt securities that can be converted into cash within one year. To calculate the company's quick assets add its cash, account receivables, and marketable securities and subtract its inventory from that result.

8 0
2 years ago
Between which two years was the greatest percentage decrease in gdp per
Alecsey [184]

the diffrence bewteen 2 and one it comes and goes like days

4 0
3 years ago
Read 2 more answers
Other questions:
  • Which of the following decreases in labor demand is due to a change in product demand? rev: 06_21_2018 Multiple Choice An increa
    15·1 answer
  • Erica evans, who takes orders at the local taco bell, argues persuasively in favor of increasing the minimum wage. but this is e
    12·1 answer
  • You work for an advertising agency. You have been assigned to come up with an advertising campaign for a new brand of designer w
    8·1 answer
  • When a bank reconciliation has been satisfactorily completed, the only related entries to be made in the depositor's records are
    11·1 answer
  • An S corporation earns per share before taxes. The corporate tax rate is​ 35%, the personal tax rate on dividends is​ 20%, and t
    6·1 answer
  • Corey wants to reorganize the company. Currently there are HR units at each plant, fiscal units at each plant, and purchasing un
    7·2 answers
  • Comprehensive Problem 1 Part 4 and Part 6: The following is a comprehensive problem which encompasses all of the elements learne
    15·1 answer
  • Freeman, Inc., reported net income of $40,000 for 2015. However, the company's income tax return excluded a revenue item of $3,0
    13·1 answer
  • The booking agent for Moser Midway Rides walked into the management office for the Ohio State Fair and said, "The average family
    12·1 answer
  • Consider each of the transactions below. All of the expenditures were made in cash.
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!