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
Oksi-84 [34.3K]
3 years ago
6

At the end of 2021, Worthy Co.’s balance for Accounts Receivable is $11,000, while the company’s total assets equal $1,410,000.

In addition, the company expects to collect all of its receivables in 2022. In 2022, however, one customer owing $2,600 becomes a bad debt on March 14.
1. Record the write off of this customer’s account in 2022 using the direct write-off method. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)
Business
1 answer:
erastovalidia [21]3 years ago
6 0

Answer:Worthy journal $

Date

March 14, 2022

Bad debt Dr 2600

Receivable Cr 2600

Narration. Record of receivables written off to income account on account becoming unrecoverable.

Explanation:

The direct method of written off bad debts do not make provision for estimate of receivables that are likely to go bad in which the estimate is recognised as debit to income statement and the corresponding credit entry is used to reduce the receivables, with adjustment been made at the year end for variances.

In the direct method the actual bad debts is debited in the income s statement and credited to the receivables accounts.

You might be interested in
In the​ video, Walmart's creation of small retail stores that offer the convenience customers​ can't find in​ Walmart's larger s
Tresset [83]

Answer: THREAT OF SUBSTITUTE PRODUCTS.

Explanation:Porter's model was developed by a Harvard business school Lecturer known as Michael E. Porter in 1979. Michael E. Porter developed a Five Forces model that identifies and analyzes five competitive forces that shape every industry, and determines an industry's weaknesses and strengths.

The five competitive forces are as follows;

COMPETITIVE RIVALRY which determines the strength and number of your competitors.

SUPPLIER POWER which determines the uniqueness of the supplies given to you by your suppliers and the number of suppliers you have etc.

BUYER POWER which evaluates how many buyers you have,how easy it is for them to buy your products etc.

THREAT OF SUBSTITUTION which evaluates how easy it is for your buyers to buy another substitutes to your product etc.

THREAT OF NEW ENTRY which evaluates the ability or easy access of new products to penetrate the market,how well you are to maintain your strength etc.

4 0
3 years ago
Amber Corporation donated inventory of clothing (basis of $136,000, fair market value of $170,000) to a qualified charitable org
viva [34]

Answer:

charitable contribution deduction =  $153000

Explanation:

given data

basis = $136,000

fair market value = $170,000

solution

we get here charitable contribution deduction that is express as

charitable contribution deduction = Basis + 50% of (Fair - basis)    .......................1

put here value and we get

charitable contribution deduction = $136,000 + 0.50 ($170,000 - $136,000 )

charitable contribution deduction =  $153000

3 0
3 years ago
Suppose there are 2,000 people who are unemployed as a result of cyclical unemployment and 1,000 people who are unemployed as a
olga55 [171]

Answer:

1,000

Explanation:

Suppose the town of Boone has a total population of 50,000 people. Of those, 45,000 people are employed. There are 1,000 full-time students who are not employed or actively seeking work. The rest of the people are out of work but have been actively seeking work within the past four weeks.

This information is not given in the question.

For computing the frictional unemployment, first we have to determine the unemployed which is shown below:

Number of unemployed would be

= Total population - employed - full time students

= 50,000 - 45,000 - 1,000

= 4,000

Now the frictional unemployment would be

=  Unemployed - cyclical unemployment - structural unemployment

= 4,000 - 2,000 - 1,000

= 1,000

5 0
3 years ago
A television advertisement for Chick-fil-a shows several cows eating grass in a large field. The camera zooms out to show that t
JulsSmile [24]

Answer:

D) being original

Explanation:

An advertising copy is the main text or phrase used in an advertisement.

The copy used in this commercial is original, specially given the context. Generally advertisements show the product that is being advertised, not a substitute product (cow meat is substitute to chicken meat). This ad tries to be funny in showing that cows prefer people eating chicken instead of them.

8 0
3 years ago
Abbott Company uses the allowance method of accounting for uncollectible accounts. Abbott estimates that 3% of net credit sales
mixer [17]

Answer:

b. $3,000

Explanation:

According to the above information, the following data are given

Credit sales = $100,000

Uncollectible percentage = 3%

So, after the adjustment by using allowance method, Bad debt expense can be calculated as;

Bad debt expense = Credit sales × Uncollectible percentage

= $100,000 × 3%

= $3,000

3 0
3 years ago
Other questions:
  • Snow​ productions, inc. reports a balance of​ $28,000 in accounts receivable and​ $3,450 in the allowance for uncollectible acco
    10·1 answer
  • Consider the data on expected returns and betas for a variety of assets in the table below. what is the expected return on share
    8·1 answer
  • Asset utilization ratios
    13·1 answer
  • This year henry realized a gain on the sale of an antique car that he inherited from his uncle. the buyer has promised to pay he
    9·1 answer
  • Which of the following items should be included in a company's inventory at the balance sheet date? A) Goods sold to a customer
    6·2 answers
  • Roslyn is a food buyer for Organic Cornucopia Food Company when she decides to go into business for herself as Roslyn’s Kitchen.
    5·1 answer
  • By promoting transparency, the government can improve
    13·1 answer
  • China's growth rate has___
    5·1 answer
  • Select all of the expressions that are equal to 6 × 45.<br> 6 × (40 + 5)
    13·1 answer
  • a project requires an investment of $1,400 and has a net present value of $400. if the internal rate of return is 12%, what is t
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!