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aalyn [17]
3 years ago
13

Grey Corporation has $100,000 of accounts receivable on December 31, 2015. The unadjusted balance of its Allowance for Doubtful

Accounts is a credit of $1,000. Experience suggests 5 percent of its receivables will be uncollectible. The amount that should be debited to Bad Debt Expense and credited to Allowance for Doubtful Accounts in the year-end adjusting entry is _____.a.$50b.$1,000c.$2,070d.$5,000e. $6,000f. $4,000
Business
1 answer:
Ksenya-84 [330]3 years ago
4 0

Answer:

4,000

Explanation:

expected uncollectible 5% of Ar

5% of 100,000 = 5,000

current balance  (1,000 credit)

Adjustment 4,000

When the uncolelctibles are made base on account receivable, the amount calculate is the ending balance and we should calculate the adjustment  by the diference between beginning balance and ending balance

If the allowance is made based on sales then weshould adjust for the whole amount of the expected bad debt

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Suppose that you work for an advertising agency and are brought into a meeting where everyone is asked to come up with names for
Simora [160]

Answer:

E) brainstorming

Explanation:

Based on the information provided within the question it can be said that you are engaged in brainstorming. This refers to a group creativity technique in which people within the group provide whatever ideas come to mind that may provide a solution to the problem that is being discussed. The best idea is then chosen by the group and implemented. Which is what the advertising agency in this scenario is doing in order to come up with a name for their new Beach Resort.

5 0
3 years ago
At the beginning of the year, Vendors, Inc., had owners' equity of $49,850. During the year, net income was $6,150 and the compa
LekaFEV [45]

Answer: $12,600

Explanation:

Based on the information that have been given in the question, the cash flow to stockholders for the year would be calculated as:

= Dividends Paid - (Ending Common Stock - Beginning Common Stock)

= $4250 - {[$49850 - $8350] - $49850}

= $4250 - [$41500 - $49850]

= $4250 - (-$8350)

= $4250 + $8350

= $12,600

5 0
3 years ago
During the "design" step of appreciative inquiry, participants ________.A) find a common vision of how the organization will loo
Mila [183]

Answer:

The correct answer is A) find a common vision of how the organization will look in the future

Explanation:

4 0
3 years ago
Rocky River Company is a pricetaker and uses target pricing. Refer to the following information:Production volume 602,000​ units
ladessa [460]

Answer:

$30.07

Explanation:

Rocky river company uses target pricing

The production volume is 602,000 units

The market price is $34 per unit

The total assets is $13,900,000

The desired operating income is 17% of the total assets

= 17/100 × 13,900,000

= 0.17×13,900,000

= 2,363,000

The first step is to calculate the sales value

= 602,000 ×34

= 20,468,000

The total cost can be calculated as follows

= Sales value-desired operating income

= 20,468,000-2,363,000

= 18,105,000

Therefore the target full product cost per unit can be calculated as follows

= Total cost/production volume

= 18,105,000/602,000

= $30.07

Hence the full target product cost per unit is $30.07

7 0
3 years ago
"Trade raises the economic well-being of a nation in the sense that the gains of the winners exceed the losses of the losers." T
kondaur [170]

Answer:

B) False

Explanation:

Trade usually benefits all the nations involved. We can use an extreme example, Chinese-American trade. America has a huge trade deficit with China, but still the whole country benefits from it. America lost some manufacturing jobs, but they have been replaced by higher paying service related jobs (currently service related jobs account for more than 70% of the total jobs in America).

And more important, American citizens are able to buy very good and cheap products from China and other places. Imagine if we had to pay for only domestic products, we would spend a much larger portion of our income in them.

8 0
3 years ago
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