Answer: False
Explanation:
When more than one alternative can be selected from those available, the alternatives are said to be mutually exclusive. In evaluating independent alternatives, each alternative is compared against the "Do Nothing" alternative.
For mutually exclusive alternatives, the do-nothing is a viable option when revenue alternatives are involved.
Answer:
Net realizable value of Accounts Receivable is $4,580
Explanation:
Balance in allowance for uncollectible account= Balance before write off - Account written off
=$420 - $140
=$280
Net realizable value of accounts receivable is:
Particular Amount
Accounts Receivable balance $5000
Less: Account written off <u>$140</u>
Balance after write off $4860
Less: Allowance for uncollectible
account from step 1 <u>$280</u>
Net realizable value <u>$4,580</u>
Answer:
$2.8 divdends per share
Explanation:
$56 market price
Rate of return 10%
The gain for an investment in stocks is:
In this case we are told that this is distribute evenly, this means:
dividends paid = market price gain
So dividends yield 5% and market price yields another 5% to achieve the 10%
So currently $56 market price x 0.05% = $2.8 divdends per share
Answer:
December 31, 2020
- Dr Bad Debt expense 18,690
- Cr Allowance For Doubtful Accounts account 18,690
Explanation:
First we need to determine the total amount of uncollectible accounts receivable = $385,600 x 6% = $23,100
Then we must subtract the amount already recorded in allowance for doubtful accounts from our total uncollectible accounts = $23,100 - $4,410 = $18,690
We have to debit the difference and credit the contra asset account:
Dr Bad Debt expense 18,690
Cr Allowance For Doubtful Accounts account 18,690
