Answer:
bad debt expense 18,000
Explanation:
bad debt 1% of credit sales:
180,000 x 1% = 18,000
When the adjustment is made base on sales, the current balance in the allowance for doubtful debts is irrelevant.
So no calculation is needed for those.
The market sales will go down in the oil stores sense the oil refineries got hit by the hurricane
Answer:
$81.88
Explanation:
We need to first calculate the terminal value which is the value in perpetuity for this preferred stock as shown below:
terminal value of the dividend =dividend/required rate of return
dividend is $5.65
required rate of return is 3.99%
terminal value of dividend=$5.65/3.99%=$ 141.60
The preferred stock price is the present value of the dividend's terminal value value
Present value=terminal value/(1+r)^n
r is the rate of return of 3.99%
n is the of years involved which is 14,15 years from today means the end of the 14th year
present value=$141.60/(1+3.99%)^14=$81.88
Answer:
Equipment $ 16,216 (debit)
Note Payable $ 16,216 (credit)
Explanation:
The Present Value of the Note is used as the measurement Cost of the Equipment
From this value we would subsequently calculate the depreciation as the equipment is being used.
The Note Payable will be amortised over three years to reflect the Carrying amount of the Liability
No, they must be lower to compete with a monopoly. Please mark Brainliest!!!