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mestny [16]
3 years ago
14

After writing off a $300 account balance for Ballman Company using the allowance method, Ballman Company sends in the payment. T

he journal entry to reverse the write off using the allowance method is:
Business
1 answer:
makvit [3.9K]3 years ago
5 0

Answer:

The journal entry is shown below:

Explanation:

The journal entry for writing off the amount through using the Allowance Method is as:

Allowance for Bad debts A/c.............................Dr   $300

             Accounts Receivable A/c...........................Cr   $300

While writing off the amount of bad debt, the allowance for bad debts account is debited against the accounts receivable account.

The journal entry which is to be recorded for reversing the write off through using the Allowance Method:

Accounts Receivable A/c...........................Dr   $300

     Allowance for Bad debts A/c......................Cr   $300

So, for reversing the original entry would be reversed, which means the accounts receivable account is debited as the payment is received and the bad debts got decrease, which means the allowance for Bad debts is credited.

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What is price and explain factors that influencing price. Give at least 5 factors and explain them.
Archy [21]
It would be 764 have a good day bye
7 0
3 years ago
Bruin, Inc., has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 –$ 37,500 –$ 37,50
sp2606 [1]

Answer:

Year             Cash Flow (A)            Cash Flow (B)

0                      -37,500                      -37,500

1                         17,300                         5,700

2                        16,200                       12,900

3                        13,800                       16,300

4                         7,600                       27,500

1) Using an excel spreadsheet and the IRR function:

IRR project A = 20%

IRR project B = 19%

2) Using the IRR decision rule, Bruin should choose project A.

3) In this case, since the length of the projects is only 4 years, then there should be no problem with the IRR decision rule, but for projects with longer time lengths, the discounts rates might vary and the best option is to use the modified internal rate of return (MIRR). But in this case the NPV of project B is higher, then Bruin should probably project B because it has a higher NPV. The NPV is always more important then the IRR.

4) Again using an excel spreadsheet and the NPV function:

NPV project A = $6,331

NPV project B = $8,139

5) first we must subtract cash flows from A by the  cash flows from B:

1      $11,600

2     $3,300

3    -$2,500

4   -$19,900

then we calculate the IRR = 16%

Bruin should be indifferent between the two projects at a 16% discount rate. That means that at discount rates above 16%, you should choose project A, but at discount rates below 16%, you should choose project B

6 0
3 years ago
The following information pertains to a manufacturing company: Beginning finished goods inventory $48,000 Manufacturing overhead
EleoNora [17]

Answer:

COGS= $122,000

Explanation:

Giving the following information:

Beginning finished goods inventory $48,000

Cost of goods manufactured $117,000

Ending finished goods inventory $43,000

To calculate the cost of goods sold, we need to use the following formula:

COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory

COGS= 48,000 + 117,000 - 43,000

COGS= $122,000

7 0
3 years ago
In terms of the tax formula applicable to individual taxpayers, which of the following statements, if any, is correct?
creativ13 [48]

Answer:

The correct answer is a. In arriving at taxable income, a taxpayer must choose between the standard deduction and itemized deductions.  

Explanation:

In tax law, the tax base is the magnitude that results from the measurement of the taxable event. It is defined as the dimension or magnitude of an element of the objective budget of the taxable event that is judged as determining the relative contributory capacity.

In tax legal relations, the taxable event shows the existence of an economic capacity in the subjects, but for the tax to be applied, this fact must be assessed in some way, usually in monetary units.

The tax base is ultimately the magnitude that is used in each tax to measure the economic capacity of the subject, such that it is reflected in ceilings.

7 0
3 years ago
Reviewing the Budget
vekshin1

Answer:

For each month we calculate the variance by finding the difference between the Actual numbers and Budget numbers.

Then we indicate if the practice was "Overbudget" or "Underbudget".

If the actual numbers are less than the budget numbers, the budget is we say that the budget is under budget.

If the actual numbers are more than the budget numbers, the budget is we say that the budget is over budget.

Month    Budget   Actual               Variance        Under/ over  

<u>                                                              (Actual -Budget)   Budget </u>

January  23,55,872   17,90,929      -5,64,943      Under Budget

February  26,54,031   28,27,606       1,73,575      Over Budget

March  22,39,980   29,24,180        6,84,200      Over Budget


4 0
3 years ago
Read 2 more answers
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