Answer:
b. Accounts receivables (gross) is reduced
Explanation:
As we know that
The journal entry to record the bad debt expense is
Bad debt expense A/c Dr
To Allowance for doubtful debts
(Being allowance of uncollectible accounts are recorded)
By passing this journal entry, both bad debt expense and the allowance for doubtful debts which result in a decrease in the net income and the balance of account receivable but the gross of account receivable would remain the same.
Answer:
Brett's outside tax basis in his LLC interest is $45000
Explanation:
A partner outside tax basis consist of basis of contributed property, partnership debt allocated to the partner without any debt relief. Non recourse debt that is more than basis of contributed property must be given to the partner that contributed to the property.
Brett's outside tax basis in his LLC interest = Cash contribution + basis of building - debt of building + Non recourse loan + non recourse mortgage + remaining mortgage on building
Cash contribution = $5000
Basis of building = $30000
Debt of building = $35000
Non recourse loan = Profit sharing ratio × Non recourse loan = 50% × $50000 = $25000
non recourse mortgage = $5000
remaining mortgage on building = 50% × $30000 = $15000
Brett's outside tax basis in his LLC interest = $5000 + $30000 - $35000 + $25000 + $5000 + $150000 = $45000
Answer: d.an annual report for external regulators such as the SEC
Explanation:
A managerial accountant is someone who records and analyzes the financial information for an organization. The data analysed will then be used to form financial decisions which can help the organization's growth.
Managerial accountants prepared ls financial information for internal reporting and not external reporting. Therefore, of the options given, the managerial accountants can prepare all the reports except the annual report for external regulators such as the SEC.
Answer:
$97 million cash inflow from financing activities.
Explanation:
Given: Company issue bonds for $100 million
Repay long term notes payable is $10 million.
Company sell its own shares= $12 million
Pay cash dividend= $5 million.
Now, lets calculate the cash inflow from financing activities (CFF)
∴ Formula; Cash inflow from financing activities= 
Cash inflow are the item through which cash is flowing in the company.
∴ cash inflow= 
Cash inflow= 
Cash inflow from financing activities= 
Cash inflow from financing activities is $97 million
Answer:
Date Particulars Debit Credit
Jan 3 Cash $240,000
Common stock (30000*5) $150,000
Paid-in-capital in excess $90,000
Nov 2 Treasury stock $15,000
Cash $15,000
Dec 6 Cash $7,200
Treasury stock[75000/1500*600) $6,000
Paid in capital from treasuty cash $1,200
