Answer:
<em>Incomplete question is "2. What journal entry should Johnson record to recognize bad debt expense for 2021? 3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2021. Determine the amount of accounts receivable written off during 2021 4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2021?"</em>
1. Gross accounts Receivable = Allowance Account balance at beginning / 10%
= $30,000 / 10%
= $300,000
2. Year Account Title Debit Credit
2021 Bad debt expense $105,000
($500,000*10% + $55,000)
To Allowance for Doubtful Accounts $105,000
3. Accounts receivable written off = Beginning balance of Allowance Account - Ending Balance of Allowance account
= $30,000 - (- $50,000)
= $30,000 + $50,000
= $80,000
4. Bad debt expense for 2021 (direct write off method) = Amount written off = $80,000
Answer:
$189,000
Explanation:
The computation of total expense with regards to this payroll is shown below:-
Total expense = Salaries and wages earned by employees + Employer's portion of FICA taxes
= $180,000 + $9,000
= $189,000
Therefore for computing the total expenses with regards to this payroll we simply applied the above formula and we ignore all other values as they are not relevant.
Answer:
$125,000
Explanation:
Particulars Amount
Sales revenue $115,000
Add: Accounts receivable decrease <u>$10,000</u>
Cash Receipt from customers <u>$125,000</u>
The sales revenue adjusted to a cash basis for the year is $125,000.
Answer:
1000
Explanation:
The economic order quantity is given by the formula = Square root of [ (2 * D * S ) / (H) ]
D = Annual Demand = 2000*6=12000 numbers (six rotor for each pump)
S = Unit Order Cost = $ 250 / order
H = Inventory Holding Cost = 10% of Unit Cost = 10% of 60 = $ 6
The economic order quantity is given by the formula = Square root of [ (2 * D * S ) / (H) ]
Economic Order Quantiity = Squareroot of { (2 * 12000 * 250) / (6) }
Economic Order Quantiity = Squareroot of { 1,000,000 }
Economic Order Quantiity = 1000 numbers.
