1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Tems11 [23]
3 years ago
14

The Miller Company earned $133,000 of revenue on account during Year 2. There was no beginning balance in the accounts receivabl

e and allowance accounts. During Year 2, Miller collected $87,000 of cash from its receivables accounts. The company estimates that it will be unable to collect 3% of its sales on account. The net realizable value of Miller's receivables at the end of Year 2 was:
Business
1 answer:
horsena [70]3 years ago
4 0

Answer:

The net realizable value of Miller's receivables at the end of Year 2 was:  $42,010

Explanation:

Open a Trade Receivable Account as follows :

Debits :

Revenue $133,000

Totals      $133,000

Credits:

Cash        $87,000

Balance   $46,000

Totals      $133,000

Note that Allowance for Doubtful debts is estimated at 3% of the Company`s Sales on Account

Allowance for Doubtful debts = $133,000 × 3%

                                                 = $ 3, 990

<u>Net realizable value of Miller's receivables</u>

Trade Receivable Balance                $46,000

Less Allowance for Doubtful Debts    $3,990

Trade Receivables                              $42,010

You might be interested in
What helps make a poster look attractive, improve readability, and highlight the message the designer wants to convey in the pos
Andre45 [30]

Answer:

B

Explanation:

i think that is it but if I am wrong sorry

6 0
3 years ago
Read 2 more answers
You would like to know the minimum level of sales that is needed for a project to be accepted based on its net present value.
Andrei [34K]

Answer:

C. financial break-even point.

Explanation:

Break even point in economics is the point in the business, wherein cost and revenue generated are equal and business make no profit, no loss. Similary Financial break even has a same concept, however, it is a point in business, wherein earning before EBIT is equal to the fixed financial cost of the company and these fixed costs should be earned by the company to run its business and meet its fixed financial obligation. The earning above the financial break-even point is a profit to the shareholder.

Point in financial break even, wherein earning per share is equal to zero.

8 0
2 years ago
Hadley Corporation issued 200,000 shares of $5 par value common stock for $25 per share. During that year, the corporation susta
kari74 [83]

Answer:

D : common stock of $1,000,000

Explanation:

Hadley Corporation

Issued shares × par value common stock

Issued shares 200,000

Par value common stock $5

Hence:

200,000 x $5

= $1,000,000

Therefore the year-end balance sheet would show a common stock.of $1,000,000

8 0
3 years ago
According to the theory of comparative advantage, potential world production is greater with unrestricted free trade than it is
dimaraw [331]

Answer:

The answer is true

Explanation:

The law of comparative advantage describes how, under free trade, an agent will produce more of and consume less of a good for which they have a comparative advantage.

8 0
2 years ago
A library shelving system has a fi rst cost of $20,000 and a useful life of 10 years. The annual maintenance is expected to be $
Debora [2.8K]

Answer:

The benefit cost ratio is 1.564

Explanation:

The benefit-cost ratio is the ratio of the present value of benefits to the present value of costs. It is thus calculated as follows.

Benefit-cost ratio = Present value of benefits / Present value of costs

Present value of costs = $20,000 + $2,500 (P/A, 10%, 10 years)

                                     = $20,000 + $15,361

                                     = $35,361

Present value of benefits = $9,000 (P/A, 10%, 10 years)

                                          = $9,000 x 6.145

                                          = $55,305

Benefit-cost ratio = $55,305 / $35,361

                             = 1.564

3 0
2 years ago
Other questions:
  • The relationship between pepe's pizzeria and its customers functions at which level of the relationship marketing continuum?
    11·2 answers
  • Due to increased mailing costs the new rate will cost $54 million this is 12.9% more than they paid the previous year. How much
    5·1 answer
  • Old Economy Traders opened an account to short-sell 1,550 shares of Internet Dreams at $74 per share. The initial margin require
    9·1 answer
  • Sanders Corporation has the following shares outstanding: 7,000 shares of $50 par value, six percent preferred stock and 45,000
    5·1 answer
  • The ________ reflects the opportunity costs of spending funds now versus achieving a return through another investment, as well
    7·1 answer
  • Weekly activity reports by an agent to a client should include:_______.
    15·1 answer
  • An auditor noted that the accounts receivable department is separate from other accounting activities. Credit is approved by a s
    6·1 answer
  • Camping Out Co. manufactures down sleeping bags:
    15·1 answer
  • Juanita Corporation uses a job-order costing system and applies overhead on the basis of direct labor cost. At the end of Octobe
    5·1 answer
  • Which of the following is an example of a general partnership?
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!