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Reil [10]
3 years ago
11

In 2022 the Cheyenne Corp. had net credit sales of $870000. On January 1, 2022, the Allowance for Doubtful Accounts had a credit

balance of $21600. During 2022, $32700 of uncollectible accounts receivable were written off. Past experience indicates that the allowance should be 5% of the balance in receivables (percentage-of-receivables basis). If the accounts receivable balance at December 31 was $227000, what is the required adjustment to the Allowance for Doubtful Accounts at December 31, 2022
Business
1 answer:
OleMash [197]3 years ago
5 0

Answer:

$22,450

Explanation:

Bad debt Expense will be calculated using the percentage of debt loss. The expense will be calculated using the account receivable balance

Beginning bal. of Allowance for Doubtful Accounts ($21,600)

- Uncollectible Accounts Receivable written off        <u>$32,700</u>

Adjustment of Allowance for Doubtful Accounts       <u>$11,100 </u>

Accounts receivable balance at December 31           $11,350

+ Adjustment of Allowance for Doubtful Accounts    $11,100 Adjustment to Allowance for Doubtful Accounts     $22,450

at December 31, 2022

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<h3>What is flexible budget?</h3>

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helene, corp. reports a net operating loss in year 1 of $20,000. in year 2, the company reports income of $10,000. what amount o
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11 months ago
Consider the following information for three stocks, A, B, and C. The stocks' returns are positively but not perfectly positivel
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The expected return is based on the risk factor of a project. If a project has higher risk its rate of return will be higher. Portfolio ABC has one third of its funds invested in each stock. The return of on A and B are 20% and 10%. Their beta is 1.0 for both the stocks while stock C has beta 1.4. The portfolio expected return will be 10.66667%.

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3 years ago
Analyze Johnson Stores’ staffing budget for holidaysJohnson Stores is planning its staffing for the upcoming holiday season. Fro
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Answer:

Johnson Stores

Staffing Budget for Holidays:

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Explanation:

a) Data and Analysis:

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Additional gross profit generated by adding a staff = $1,209.60 ($9,676.80/8)

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