Answer:
Adjusting entry the company made to record its estimated bad debts expense:
Bad Debts Expense 29,300
Allowance for Doubtful Accounts 29,300
Explanation:
The company uses the aging of receivable method to estimate uncollectible.
Estimated uncollectible would be $28,500
Before year-end adjustments, the Allowance for Doubtful Accounts had a debit balance of $800
Bad debts expense = $28,500 + $800 = $29,300
Adjusting entry the company made to record its estimated bad debts expense:
Bad Debts Expense 29,300
Allowance for Doubtful Accounts 29,300
Answer:
the correct answer is accrual-basis
Explanation:
"according to the accrual-basis method of accounting, revenues are recognized when they are earned"
good luck
Answer:
see below
Explanation:
1. Personal Savings
The sole trader can invest his savings into his business for expansion. A sole trader who is confident about his business's prospects will be prepared to invest additional savings into the business for growth. The use of savings relieves them from the strain of interest payments and enables them to retain full control over the business.
2. Sale of Assets
Should a sole trader require funds to expand their business, they opt to dispose of some of their assets. If the trader does not have savings or retained earnings and have a property registered in their name, they may decide to sell it to raise capital.
Answer:
A liquidated damages clause.
Explanation:
The liquidated damage clause is the clause in which the party who has breach the contract or who has delay the completion of the contract has to pay the damages for the liquidation of the contract
here in the given situation, since the company has an agreement with the other party and if anyone party breach the contract then the price they paid would be $1,000 approx
Therefore this represents the liquidated damages clause
Answer:
d. $1,400.
Explanation:
The computation of the gain on sale of debt investment is shown below:
Gain on sale of debt investment = Sale price - purchase price
where,
Sale price = $32,000 - $300 = $31,700
And, the purchase price is
= (60,000 + $600) × 30 days ÷ 360 days
= $30,300
Now the gain on sale of debt investment is
= $31,700 - $30,300
= $1,400
