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ehidna [41]
3 years ago
12

Accounts receivable balances are required to be reflected at net realizable value as of the balance sheet date. Use of the allow

ance method for estimating bad debit is the preferred method because it:________
A) is required by GAAP.
B) it provides for better matching of revenue with expenses.
C) A and B
D) None of the above
Business
1 answer:
Komok [63]3 years ago
6 0

Answer:

Accounts receivable balances are required to be reflected at net realizable value as of the balance sheet date. Use of the allowance method for estimating bad debt is the preferred method because it:________

C) A and B

Explanation:

Company XYZ can use the allowance method which ensures that the Accounts receivable balances are stated at their gross amount and not the net realizable value.  Therefore, the allowance account is a contrary account with normally a credit balance.  The allowance method is required by GAAP and provides for better matching of revenue with expenses.  Company XYZ can use two methods for estimating bad debt under the allowance method.  The first is the percentage sales method and the accounts receivable aging method.  Whichever method is chosen depends on the decision of management.

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What words come to mind, both positive and negative, when you think about budgeting?
Svetlanka [38]

Answer:

Positive:

-Managing money

-Saves money for other things

Negative:

-May be hard to budget if you need a lot

Hope this helps! These are just what come to mind in my opinion.

4 0
2 years ago
Which is the best option for people who need the items immediately but cannot pay cash now?
professor190 [17]
<h2>Answer</h2>

Buy on Credit

<h3>Explanation</h3>

When in a liquidity problem and items have to be bought, buying on credit seems to be the best option. Buying on credit allows immediate ownership of required items whereas the money can be paid later as per the credit policy and terms. This permits the consumer to take the advantage of item ownership with delayed payment hence double advantage.

7 0
3 years ago
Read 2 more answers
Margaret and Jack are working on a high-priority project with a tight deadline. When Margaret is unable to meet the deadline, Ja
matrenka [14]

Answer:

B, Fundamental attribution error.

Explanation:

Fundamental attribution error is a psychological situation in which individuals have the tendency to explain a person's behavior based on disposition/personality but not lay emphasis on the external behaviors that affect the person's behavior.

In the above question, because Jack and Margaret couldn't finish Margaret's jobs due to Margarette her clumsiness and went on to blame the supervisor as the cause of the tem not being able to finish the task .

Cheers.

3 0
3 years ago
Freeman Company's accounting records include the following information: Payments to suppliers $ 47,000 Collections on accounts r
Mashutka [201]

Answer:

$73,600

Explanation:

Cash flow from Operating Activity

Cash sales                                                          $26,000

Collections on accounts receivable                 $99,000

Payments to suppliers                                      ($47,000)

Cash generated from operations                     $78,000

Income taxes paid                                              ($4,400)

Net cash provided by operating activities       $73,600

therefore,

the amount of net cash provided by operating activities indicated by these transactions is $73,600

4 0
2 years ago
Insurance is a financial service that allows a:________
Amiraneli [1.4K]

Answer: Consumer share risk with company.

Explanation:

Insurance involves the sharing of risk between a client and his insurer. In insurance the insurer takes a large portion of the risk while the client covers the rest of risk payment.

6 0
3 years ago
Read 2 more answers
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