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LekaFEV [45]
3 years ago
7

The annual report for Fallon Holding Corporation contained the following information: (in millions) 2016 2015 Accounts Receivabl

e $ 671 $ 733 Allowance for Doubtful Accounts 31 32 Accounts Receivable, Net $ 640 $ 701 Assume that accounts receivable write-offs amounted to $12 during 2016 and $2 during 2015, and that Fallon did not record any recoveries. Required: Determine the Bad Debt Expense for 2016 based on the above facts. (Enter your answer in millions.)
Business
1 answer:
ollegr [7]3 years ago
4 0

Answer:

bad debt expense for the year 2016: 11

Explanation:

We can solve for bad debt expense doing the following

beginning allowance

- write-off accounts

+ bad debt expense

Equals to ending allowance

<u>We plug our values: </u>

2016 Beginning  allowance      32

(Ending 2015)

write-off                                     (12)

bad debt expense                  <u>    ?   </u>

2016 Ending  allowance            31

And solve for bad debt expense:

Bad debt expense = 12 + 31 - 32 = 11

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Suppose that two factors have been identified for the U.S. economy: the growth rate of industrial production, IP, and the inflat
DENIUS [597]

Answer:

23.3%

Explanation:

Expected return refers to the anticipated profit or loss of financial investment. Essentially, it's the value of the return that investors anticipate. We can find the expected return by using the formula given below

Δ IR = 5-5% - 2% = 3.5%

Δ IP = 6% - 4% = 2%

Formula

Expected return = Expectedreturn(previous year) + (betaIP x Δ IP) + (betaIR x Δ IR)

Expected return = 12% + (2.5 x 2%) + (1.8 x 3.5%)

Expected return = 23.3%

5 0
3 years ago
Let’s assume that we are about to appraise a house using the cost approach. The home was originally constructed in the early 190
guajiro [1.7K]

Answer:

$290,000

Explanation:

We start with the cost of building a replica of the house:

building a new house:                 $350,000

plus highest and best use             $25,000

minus perceived value loss          ($20,000)

minus physical deterioration        ($50,000)

<u>minus building obsolescence       ($15,000)  </u>

appraised value                            $290,000

8 0
3 years ago
Which of the following companies has the lowest degree of leverage?
LiRa [457]

The firm with a 20% Debt and 80% Equity has the lowest degree of leverage.

<h3>What is a degree of leverage?</h3>

This means  how much a firm operating income changes in response to a change in sales.

Because the Firm C has a low debt, this means its has the lowest degree of leverage when compared to others.

Therefore, the Option C is correct.

Missing options "90% Debt, 10% Equity

30% Debt, 70% Equity

20% Debt, 80% Equity

50% Debt, 50% Equity"

Read more about degree of leverage

<em>brainly.in/question/8720374</em>

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4 0
2 years ago
Why is a hotel room a perishable product?
Anton [14]

E

Is the correct answer

7 0
3 years ago
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Four Seasons Hotels sell private residences in several of their properties and send direct mail to prospective residents asking
SVEN [57.7K]

Answer:

lead generation.

Explanation:

Lead generation -

It refers to the process of generating the interest of consumers regarding any goods and services , is referred to as lead generation .

The method is useful in the field of marketing , as it increases the possibility of the consumers buying the product and hence , increases the sale , which in turn is profitable to the company .

The method of lead generation is the part of advertizing or publicizing the goods and services .

Hence , from the given scenario of the question ,

The correct answer is lead generation .

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