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Oksanka [162]
3 years ago
7

The _________________ is an accounting method that (a) estimates bad debts expense from credit sales during the period sales are

recognized, and (b) reports accounts receivable at the estimated amount of cash to be collected. Multiple Choice Adjustment method for uncollectible debts.
Business
1 answer:
oksian1 [2.3K]3 years ago
5 0

Answer:

A) Allowance method of accounting bad debts

Explanation:

Based on the allowance method, the bad debts should be calculated on either credit sales i.e. income statement method or receivable aging method i.e. balance sheet method. Also, the account receivable should be recognized at net realizable value

Therefore the allowance method of accounting bad debts is an answer

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Keynesian economics argues for the use of _____ policy to stabilize the economy.
slavikrds [6]

Answer:

Keynesian economics argues for the use of active government policy to stabilize the economy.

Explanation:

In order to alleviate or avert economic recessions, Keynesian economics places a strong emphasis on the employment of proactive government policy to control aggregate demand. Keynes contended that lengthy periods of high unemployment might result from a lack of general demand. Consumption, investment, government purchases, and net exports are the aggregate of four factors that determine an economy's amount of goods and services.

8 0
1 year ago
The Martinez Legal Firm (MLF) recently acquired a smaller competitor, Miller and Associates, which specializes in issues not pre
Vsevolod [243]

Answer:

increase

Explanation:

Transaction cost is the cost needed for every exchange. This cost can be external or internal. External transaction cost comes from the cost to do an exchange with a second party while internal cost comes from the company itself.  

The Martinez Legal Firm acquired a competitor so their business size will increase for sure. Larger businesses will become more complex and need more management. These will, in turn, increase the internal transaction cost.

6 0
3 years ago
Luciana, a nonshareholder, purchases a condominium for her employer for $85,000. The fair market value of the condominium is $12
krok68 [10]

Answer:

Luciana’s basis in the condominium is $120000.

Explanation:

The transfer or sale of property by the employer to the employee at less than the fair market value then it is considered as the compensation income or dividend income. However, it should be included in the income. The difference in cost and fair market value ($120000 - $85000 = $35000) is considered as the gross income which is taxable for the year.

5 0
3 years ago
Negative externalities are created when
katrin2010 [14]

Answer:

The correct answer is (C)

Explanation:

Negative externalities occur when an individual or firm making a choice negatively affect other parties.  A driver who recklessly drives a car on a busy highway is a negative externality because the amusement of the driver is negatively affecting other people. A negative externality arises when the benefit of a decision is less than the negative outcomes of that decision.

3 0
3 years ago
Rigney Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of
ANEK [815]

Answer:

Total estimated bad debts = $9,400

Explanation:

days outstanding     A/c Receivable    %        estimate

0-30                           $77,000              1           $770

31-60                          $46,000              4         $1,840

61-90                           $39,000              5        $1,950

91-120                          $23,000              8         $1,840

over 120                      $15,000               20       $3,000

Total                            200,000                          $9,400                      

4 0
3 years ago
Read 2 more answers
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