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Archy [21]
3 years ago
7

An aging of a company's accounts receivable indicates that $4,000 are estimated to be uncollectible. If Allowance for Doubtful A

ccounts has a $1,200 credit balance, the adjustment to record bad debts for the period will require aa. debit to Bad Debts Expense for $4,000.b. debit to Allowance for Doubtful Accounts for $2,800.c. debit to Bad Debts Expense for $2,800.d. credit to Allowance for Doubtful Accounts for $4,000.
Business
2 answers:
matrenka [14]3 years ago
6 0

Answer:

The correct answer is letter "C": debit to Bad Debts Expense for $2,800.

Explanation:

Bad Debt Expenses are debts a company incurs when it sells goods or services but receives no payment or partial payments. These investments are part of conducting business on credit and occur for several reasons that include <em>fraud, trade disagreements </em>or <em>a company simply avoiding the obligation to pay</em>.  

In the example, the adjustment to bad debts expense will be the result of accounts receivable minus doubtful accounts. Then:

Bad Debt Expenses = $4000 - $1200 = $2800

Lisa [10]3 years ago
4 0

Answer:

debit to Bad Debts Expense for $2,800

Explanation:

The adjustment to record bad debts for the period will require a debit to Bad Debts Expense for $2800.

i.e. $(4000 - 1200) = $2800

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Dan Pink argues that for 21st century tasks in creative businesses the mechanistic, reward-and-punishment approach will not work
Ber [7]

Answer: True

Explanation:

This statement is true. Dan Pink argued that when it came to creative businesses, it would be best to use intrinsic as opposed to extrinsic rewards to encourage employees as extrinsic rewards such as money could constrain creativity.

Intrinsic rewards are those that are psychologically rewarding such as giving employees tasks that are fulfilling and make them feel part of the team as well as positive feedback from employers.

8 0
3 years ago
Based on new information gained during an audit of a nonissuer, an auditor determines that it is necessary to modify materiality
Anon25 [30]

Answer:

The correct answer is D. Materiality levels for particular classes of transactions, account balances, or disclosures might also need to be revised.

Explanation:

The need for less materiality for significant account / disclosure may occur infrequently; however, it may be appropriate in certain circumstances. The materiality of performance related to a lower materiality for the significant account / disclosure is set to reduce to an adequately low level the probability that the sum of the errors not corrected and not detected in that significant account or particular disclosure exceeds the materiality Minor account / significant disclosure.

We must document the minor amount of the materiality of the significant account / disclosure, if applicable, for each specific significant account or disclosure and the factors considered in its determination.

Materiality Modification

The materiality for the financial statements taken together (and, if applicable, the lower materiality for the significant account / disclosure) may be modified as a result of:

  1. A change in circumstances that occurred during the audit.  New information, or
  2. A change in our understanding of the entity and its operations as a result of performing additional audit procedures.
7 0
3 years ago
Joe​ Henry's machine shop uses 2 comma 510 brackets during the course of a year. These brackets are purchased from a supplier 90
stepan [7]

Answer:

D = 2,510 brackets

              H =  $1.60

              Co =  $20

              EOQ =    √2 x 2510 x  20/1.60

             EOQ = 250 units

Average inventory = EOQ/2

                                 = 250/2

                                = 125 units

Total Holding Cost = QH/2

                                = 250 x $1.60/2

                               = $200

No of order = Annual demand/EOQ

                    = 2,510/250

                   = 10 times

Annual  ordering cost = DCo/Q

                                      = 2,510 x $20/250

                                     = $200

Total annual cost = Annual ordering cost + annual holding cost

                              = $200 + $200

                             = $400

Time between orders = No of working days in a year/No of order

                                      = 250/10

                                      = 25 days

Explanation: Economic order quantity is a function of square root of 2 x annual demand x ordering cost per order divided by holding cost per item per annum. D denotes annual demand, Co is ordering cost per order and H represents holding cost per item per annum.

Average inventory is calculated as EOQ/2

Total annual holding cost is calculated as EOQ multiplied by holding cost per item per annum/2

No of order is the ratio of annual demand to EOQ

Annual ordering cost is calculated as annual demand multiplied by ordering cost per order divided by EOQ

Total annual cost is the aggregate of annual ordering cost and annual holding cost

Time between orders is the ratio of number of days in a year to number of order

8 0
4 years ago
What is TRUE about estate planning?
Ulleksa [173]

Answer:

B.) It helps insure your possessions are distributed appropriately.  

Explanation:

All of the other answers are false.

Hope this helps! If you have any additional questions, please don't hesitate to ask me or your teacher to be sure you master the subject. Stay safe, and please mark brainliest!   :)

7 0
3 years ago
Jackson, a self-employed taxpayer, uses his automobile 88% for business and during 2020 drove a total of 24,800 business miles.
IRINA_888 [86]

Answer:

300+3000+360+450+480+330+600+6600 =12120

12120 x 6000 ÷ 100 = 727 200

Explanation:

Add all expenses but leave out the 6,000 because it's Depreciation.

5 0
3 years ago
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