Answer:
c. $24,500
Explanation:
The allowance for doubtful accounts is a contra-asset account that records the amount of receivables expected to be uncollectiblea, makes a reduction of the total amount of accounts receivable appearing on a company’s balance sheet. There are two way to estimate uncollectible accounts: the percentage of sales method and the accounts receivable aging method.
ABC Company uses the percentage of sales method - application a flat percentage to the total amount of net credit sales for the period.
Estimated uncollectible = 3% x $750,000 = $22,500
The company establishes an allowance for doubtful accounts for $22,500 while simultaneously reporting $22,500 in bad debt expense.
Before adjusting on December 31, 2004, the Allowance for Doubtful Accounts had a credit balance of $2,000.
The balance in the allowance for doubtful accounts after adjustment is $22,500 + $2,000 = $24,500
Answer: Social learning
Explanation:
Isabella is involved in social learning with her learning group, in preparation for her mini-presentation on an advertisement campaign.
Social learning involves a form of learning done in groups where ideas are exchanged and learning is enhanced.
Answer:
The answer is: share price should be $21.78.
Explanation:
The share price equals to the present value of the annual dividend stream earned from the share paid at the end of each year; discounting at the required rate of return 7%.
We have dividend stream given as follow: Y1: $1; Y2: $2.5; Y3: $5; Y4 forward: fixed at $1.25.
So share price = 1/1.07 + 2.5/1.07^2 + 5/1.07^3 + [ ( 1.25/0.07) / 1.07^3 ] = 0.94 + 2.18 + 4.08 + 14.58 = $21.78.
So, the answer is share price should be $21.78.
Answer:
different perception and different ideas
Explanation:
Answer:
Transaction cost
Explanation:
Transaction cost is defined as costs that a person bears in the process of buying or selling of a product.
For example the commission that is paid to a broker for completing a transaction, cost of transportation that is spent when completing an exchange, and time for completing the purchase are all examples of transaction cost.
In the given instance transaction cost is exemplified by the investment a seller makes in equipment or in the hiring of skilled employees to supply the product or service to the buyer.
