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frez [133]
3 years ago
10

When a company uses the allowance method to measure bad? debts, ________?

Business
1 answer:
ale4655 [162]3 years ago
5 0
When a company uses the allowance method to measure bad? debts, Bad Debts Expense. 
<span>"The Bad Debts Expense account is facing a difficulty for achieving the objective, and when a certain or some account is written off".

This is Bad Debts Expense.</span>
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Comparing ABC and Plantwide overhead Cost Assignments Wellington Chocolate Company uses activity-based costing (ABC). The contro
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$432,000 Setting up equipment ⇒ based on setup hours

$1,440,000 Other overhead ⇒ based on oven hours

product                units produced            setup hours          oven hours

Fudge                         8,000                         6,400                    1,600

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1) Activity rate:

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  • b) oven hours = total other overhead costs / total oven hours = $1,440,000 / 9,600 hours = $150 per oven hour

2) total overhead assigned to fudge = (6,400 setup hours x $54 per setup hour) + (1,600 oven hours x $150 per oven hour) = $345,600 + $240,000 = $585,600

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