Answer:
$5,500
Explanation:
When a company makes sales on account, debit accounts receivable and credit sales. Based on assessment, some or all of the receivables may be uncollectible.
To account for this, debit bad debit expense and credit allowance for doubtful debt. Should the debt become uncollectible (i.e go bad), debit allowance for doubtful debt and credit accounts receivable.
Adjustments to allowance required
= $15,000 - $9,500
= $5,500
The entries to be posted are
Debit Bad debt $5,500
Credit Allowance for Doubtful debt $5,500
Answer:
Creativity is defined as the tendency to generate or recognize ideas, alternatives, or possibilities that may be useful in solving problems, communicating with others, and entertaining ourselves and others.
Answer:
Johannesburg Stock Exchange
Explanation:
Answer:
Explanation:
1st strategy : Selling pound forward
The spot rate of the pound is quoted at $1.51.
The one-year forward rate exhibits a 2.65% premium.
The one-year forward rate = 1.51 ( 1+ 0.0265)
= $ 1.55
Dollars received = 100000 * 1.55 = $155000
2nd strategy : Buying put option
The strike price of put = $1.54
premium on option is $.03
Amount received per option = $ 1.54 - $ 0.03 =$1.51
Total Dollars received = 100000* 1.51 = $ 151000
the best possible hedging strategy is Selling pound forward and receiving $155000
Answer: a. The patent is an intangible so it is amortized for cost recovery
Explanation:
Just as Depreciation exists for the wearing and tearing of tangible Assets, so does AMORTIZATION exist for Intangible Assets like goodwill, patents, licenses, copyrights and logos.
It follows essentially the same process as Depreciation and the useful life estimation is usually discretionary because some Intangible Assets can give benefits forever such as logos.
Generally though, only Intangible Assets with estimable useful lives are amortized such as Patents and Trademarks.
