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Bess [88]
3 years ago
11

Businesses using the allowance method for the recognition of uncollectible accounts expense commonly experience four accounting

events.
(1) Recognition of revenue on account.
(2) Collection of cash from accounts receivable.
(3) Recognition of uncollectible accounts expense through a year-end adjusting entry.
(4) Write-off of uncollectible accounts.

Show the effect of each event on the elements of the financial statements, using a horizontal statements model like the one shown here. Use the following coding scheme to record your answers: increase is +, decrease is −, not affected is NA. In the cash flow column, indicate whether the item is an operating activity (OA), an investing activity (IA), or a financing activity (FA). The first transaction is entered as an example.
Business
1 answer:
olchik [2.2K]3 years ago
5 0

Answer:

(1) Recognition of revenue on account.

The accounting record a sale as usual.

(2) Collection of cash from accounts receivable.

The accounting records the accrued revenues as usual.

(3) Recognition of uncollectible accounts expense through a year-end adjusting entry.

Based on experience or other actors, the company considers a portion of their sales revenecue (or assets i nthe balance heet) to be ficticional.

(4) Write-off of uncollectible accounts.

The accouning simply decrease the acc receivalues and then, it proceeds with the credited agains the allowance.

Explanation:

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lisov135 [29]

Answer:

Social Entrepreneurship

Explanation:

According to my research on different types of businesses, I can say that based on the information provided within the question Manny's Cookies is an example of Social Entrepreneurship. This term refers to a start up company that in which they develop, fund and implement different products or services for society, as well as providing solutions for society, or the environment. Which in this case the product are Manny's cookies but by donating money to charity they are helping provide solutions to many problems.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

5 0
2 years ago
Kapcom Telecom wants to implement an on-the-job training program for the sales staff who are unaware of the technical aspects of
leva [86]

Answer:

situational restraints

Explanation:

Based on the information provided within the question it seems that this scenario is illustrating situational restraints. These are factors that act as barriers preventing certain behaviors or performances. Which is the case since the company wants and needs a training program but they do not have the personnel or the money to hire professional IT trainers. Therefore placing a barrier on the knowledge and skills that are needed from the training program.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

5 0
3 years ago
Alyssa was complaining about her workload before the staff meeting began. Later, when the manager announced that twelve parking
Novosadov [1.4K]

Answer: a. Set ground rules to be followed. b. Ignore conflict so that it will blow over. c. Start meetings promptly. d. Introduce a tentative agenda.

Explanation: All the answers given are correct, but Alyssa should be cautioned around her conduct during the staff meeting.

8 0
2 years ago
The Hutch Fashions sends out its spring and summer catalog to Liz. Liz falls in love with the cute dress featured on the front c
Ede4ka [16]

Cindyliz is wrong in this situation

Both Cindyliz and The Hutch Fashions did not signed any contract that specify the obligation that The Hutch Fashions need to sell  a certain type of product to Cindyliz. She just obtained a summer catalogue, not a purchase order.  A catalogue only filled with list of product information that company sold.

8 0
2 years ago
Read 2 more answers
Net credit sales for the year are $750,000. The end of year accounts receivable balance is $160,000. The allowance for doubtful
alexandr402 [8]

Answer: $3000

Explanation: Allowance for doubtful accounts is the contra account to accounts receiveable when all the bad debts need to be accounted for. The bad debts reduces the accounts receivable line but all bad debts are actually deducted from the allowance for doubtful accounts.

The allowance for doubtful accounts for that year is calculated as 5% of the accounts receivable balance. This amounts to $8000 (160000 x 5%) before bad debts have been accounted for. Allowance for doubtful accounts moves in the opposite direction as accounts receivable because it is a contra account to this line item. At the end of the year before year end closing entries are done, and after the bad debts have been accounted for, the balance on the allowance for doubtful accounts is $5000.

This means that bad debts for that year is:

8000 (balance before bad debts have been accounted for)

- 5000 (balance after bad debts have been accounted for)

= $3000.

5 0
3 years ago
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