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Goryan [66]
3 years ago
7

Sarasota Company has a balance of $2,200 in Allowance for Doubtful Accounts before adjustment. The estimated uncollectibles unde

r the percentage-of-receivables basis is $5,100. Explain the adjustment.
Business
1 answer:
andrew-mc [135]3 years ago
5 0

Answer:

Debit : Allowance for doubtful debts = $2900

Credit : Accounts receivables = $2900

Explanation:

An account for allowance for doubtful debts is a contra account created, predicting that certain debtors will not be able to pay for the goods and services they purchased. This may be based on historical experiences. Doubtful debts aren’t officially uncollectible, it is simply an estimation made, but bad debts are, where you have officially written off a certain accounts receivable as uncollectible.

An allowance for doubtful debts is recorded in the balance sheet, directly under accounts receivables. Bad debts are recorded as an expense in the income statement. When there is an allowance for doubtful debts, the bad debts account is debited and the allowance for doubtful debts account is credited.

According to the question, the balance was $2,200 (Cr) in the allowance for doubtful debts account. The initial expected amount for allowance for doubtful debts was $5100 (Cr). This means that the difference was the amount that was declared as uncollectible and officially written off i.e. bad debts. Thus $2900 ($5100 -$2200) would have been confirmed as bad debts.

The entry to record the above transaction is:

Debit : Allowance for doubtful debts = $2900

Credit : Accounts receivables = $2900

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bazaltina [42]

Answer: a. Western Power must comply with the Williams Act.

Explanation: The Williams Act was passed into law in 1968 and is a federal defining the rules of acquisitions and tender offers in response to hostile attempts at takeovers from corporate raiders who make cash tender offers for stocks they owned. These offers often destroy value since they force stockholders to tender stocks on a shortened timetable and as such, the Williams Act also includes time constraints specifying the number of days to make a decision and also the least amount of time such cash offers may be open. In accordance with the Act, Western Power must follow the tenets stipulated within the Act.

4 0
3 years ago
At the Bourg Company, a primary ______ is to increase the monthly revenue by 10%. Bourg considers revenue targets a key part of
mr_godi [17]

Considering the subsequent description given in the question, At the Bourg Company, a primary <u>sales goal</u> is to increase the monthly revenue by 10%.

This is evident in the fact that Bourg considers revenue targets a vital part of the company strategy. Here, the revenue of a company is derived from <u>sales</u>.

Also, given that the targets at the Bourg Company are stated in clear, precise, and measurable terms, and they always specify a time frame for completion, this is an example of a <u>sales goal.</u>

<u>Sales goal</u> is a term used in business management to describe the defined goals for a firm's sales team.

Sales goals could be expressed as increasing revenue by 13% in a year or improving customer retention by 18%.

Hence, in this case, it is concluded that the correct answer is "<u>sales goals."</u>

Learn more here: brainly.com/question/23162020

6 0
2 years ago
How did huey long's plan to limit incomes violate the free enterprise system?
zhenek [66]
Huey Long guaranteed a free training through school and benefits for the matured, which he can't do on the grounds that it is the administration's business to settle on these choices. He likewise he raised duties to make healing facilities to take into account poor people and enhance ignored streets and scaffolds inside the state
5 0
3 years ago
7. You have saved $4,000 for a down payment on a new car. The largest monthly payment you can affort is $350. The loan will have
nordsb [41]

Answer:

$13,290.89  and $15,734.26

Explanation:

In this question we have to use the Present value function which is shown on the attachment below:

In the first case

Provided that

Future value = $0

Rate of interest = 12%  ÷ 12 months = 1%

NPER = 48 months

PMT = $350

The formula is shown below:

= PV(Rate;NPER;PMT;FV;type)

So, after solving this, the present value is $13,290.89

In the second case

Provided that

Future value = $0

Rate of interest = 12%  ÷ 12 months = 1%

NPER = 60 months

PMT = $350

The formula is shown below:

= PV(Rate;NPER;PMT;FV;type)

So, after solving this, the present value is $15,734.26

8 0
3 years ago
________is one area of strategic decision making that "considers inventory ordering and holding decisions and how to optimize th
atroni [7]

Answer:

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Explanation:

Inventory management refers to the concepts, tasks and management skills that are involved in managing an inventory. Order and purchase of raw materials, warehouse layout, storage, unit estimation, production scheduling, and just-in-time management are some examples.

Inventory management is important so that suppliers can schedule their operations and consumers can have the goods that satisfy their needs available.

4 0
2 years ago
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