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Serjik [45]
2 years ago
11

Larkspur, Inc. had net sales in 2020 of $1,447,100. At December 31, 2020, before adjusting entries, the balances in selected acc

ounts were Accounts Receivable $204,600 debit, and Allowance for Doubtful Accounts $1,940 debit. Assume that 11% of accounts receivable will prove to be uncollectible. Prepare the entry to record bad debt expense.
Business
1 answer:
Zielflug [23.3K]2 years ago
6 0

Answer:

The entry to record bad debt expense:

Debit Bad debts expense $24,446

Credit Allowance for Doubtful Accounts $24,446

Explanation:

1. At December 31, 2020,

Bad debt are estimated: 11% x $204,600 = $22,506

Before adjusting, Allowance for Doubtful Accounts had a debit balance of $1,940. So Bad debt expense will be: $1,940 + $22,506 = $24,446

The adjustment to record Bad debt expense and Allowance for Doubtful Accounts:

Debit Bad debts expense $24,446

Credit Allowance for Doubtful Accounts $24,446

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<h3>Answer: D) increase in prices</h3>

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Meanwhile, war, scarcity and extreme weather all are possible factors of a shortage. So we can cross choices A,B,C off the list.

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When supply increases, the supply curve
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When supply increases, the supply curve  shifts to the right.

<h3>What is the supply curve?</h3>

This is the curve that is used to show the amount of goods that the producers would be able to make available for the market at a particular price. The supply curve shifts to the right when there is an increase in supply in the economy.

Hence this answers our question by saying that When supply increases, the supply curve  shifts to the right.

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1 year ago
To create the proper style for an argumentative essay, a writer should
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<em>Provide clear statements</em>

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3 0
2 years ago
Read 2 more answers
The following events took place at a manufacturing company for the current year:(1) Purchased $95,000 in direct materials.(2) In
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Answer:

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The WIP inventory at the begining of the period is given as nil.

WIP during the period = (95000*80%)+56000+13600+107000

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Further the remaining raw material 20% = 95000*20% shall not comprise a part of the WIP as it has not been brought into process itself , it shall lie in raw materials inventory itself.It shall be counted into the WIP once it is brought into the manufacturing assembly line.

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3 years ago
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Answer:

An optional Call

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