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Mariulka [41]
3 years ago
12

Utopia Corporation provides $6,000 worth of lawn care on account during the month. Experience suggests that about 3% of net cred

it sales will not be collected. To record the potential bad debts, Utopia Corporation would debit:
a. Bad Debt Expense and credit Accounts Receivable for $180.
b. Accounts Receivable and credit Allowance for Doubtful Accounts for $180.
c. Bad Debt Expense and credit Allowance for Doubtful Accounts for $180.
d. Allowance for Doubtful Accounts and credit Bad Debt Expense for $180.
Business
1 answer:
photoshop1234 [79]3 years ago
6 0

Answer:

The answer is C.

Explanation:

Credit sales is $6,000

Bad debt is 3% of net credit sales which is $180($6,000 x3%)

Creating allowance for doubtful debt entry is one of the prudent method and it tells us that some customers won't pay part of what they are owing. And it is also a contra account that offset bad debt.

According to the accounting rule, debit increases asset and expenses and vice-versa while credit decreases liability, equity, income and vice versa.

So we have have:

Dr Bad debt expense $180

Cr Allowance for Doubtful Accounts $180

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Hall and Donnell reported findings of five separate studies involving over 12,000 managers that explored the relationship betwee
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Answer:

D) were highly likely to be in their lower-achieving group.

Explanation:

Theory X refers to a motivation theory developed by Douglas McGregor. Theory X can be described as a pessimistic view of humanity and human workers. Managers who support theory X tend to dislike their own work and believe everyone else dislikes their work, are not ambitious and believe everyone else is not ambitious either, and finally don't like to assume responsibility over their actions and believe everyone else is like them.

So it shouldn't be a surprise that managers who support theory X are underachievers.

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3 years ago
S&L Computer services has separate divisions to focus on the needs of individual consumers, small businesses, and large busi
prisoha [69]

Answer:

Letter c is correct. <u>Customer.</u>

Explanation:

Departmentalization by customer is a type<u> of grouping that divides organizational activities so that they are effective in meeting and directing organizational strategies to a type of audience that has similar characteristics</u>, such as age, gender, preferences, and income. Each unit has customized characteristics and sales method so that the customer group has a positive perception about the organization and its requirements and needs are properly met.

3 0
2 years ago
You are looking at a one-year loan of $12,000. The interest rate is quoted as 8.4 percent plus two points. A point on a loan is
Debora [2.8K]

Answer:

Explanation:

Mortgage rates are influenced by many different factors including demand from homebuyers and homeowners for new loans, current economic conditions, inflation, and demand from investors to buy mortgage loan debt

Mortgage interest rates have a very significant impact on the overall long-term cost of purchasing a home through financing. On the one hand, mortgage borrowers are seeking the lowest possible rates; on the other, mortgage lenders must manage their risk through the interest rates they charge. The lowest mortgage interest rates are only available to borrowers with the most solid finances and stellar credit histories.

While the financial health of borrowers affects how good an interest rate they can get, larger economic factors and government financial policy affect the whole mortgage rate universe. You can boil it down to these five important factors. All represent basic rules of supply and demand in one form or another. It's a little technical, but learning these principles will give you a good way to think about what you're paying now and what could be coming

Answer a.

Effective Annual Rate of a loan is 8.92%

Answer b.

Effective Annual rate R is 12.27%

Answer is not affected by Loan amount as certain percentage of loan that is deducted as points.

Explanation:

Answer a  

Points deducted = 2 or 2%

April = 8.4%

Monthly rate (i)= 8.4%/12= 0.007

Months in a year = 12

Effective Annual Rate of a loan =( (1+(i/(1-points)))^months in year)-1

((1+(0.007/(1-2%)))^12)-1

=0.08916311096 or 8.92%

So Effective Annual Rate of loan is 8.92%

Answer b

quoted interest rate = 11.4%

Monthly rate (i)= 11.4%/12=0.0095

Months in year = 12

points deducted= 2 or 2%

EAR of loan =((1+(i/(1-points))) ^months in year)-1

((1+(0.0095/ (1-2%))) ^12)-1

=0.1227334817 or 12.27%

Answer is not affected by Loan amount as certain % of loan is deducted as points.

5 0
3 years ago
Have you ever been disciplined for or the subject of an administrative order relating to conduct or practices involving any aspe
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Answer:

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NO

This question wants to know if you have been DISCIPLINED, PUNISHED OR PENALIZED for any finance-related fraud

Explanation:

Have you ever been disciplined for or the subject of an administrative order relating to conduct or practices involving any aspect of the financial services, insurance, securities or real estate industries or any other licensed industry or profession?

1. Does it mean if I have been taught any financial information?  

NO

This question wants to know if you have been DISCIPLINED, PUNISHED OR PENALIZED for any finance-related fraud

2. I have worked as a teller. then do I have to say yes??  

YES, but what they want to know is ''while you were a teller did you receive any query for fraud'' or have you been sanctioned for acting wrongly because you wanted financial gain? Did you change records to show an improved picture?

3. Is this question a positive question or negative?  

This question is positive because it shows you are seeking for an opportunity for work or travel.

6 0
3 years ago
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kondaur [170]

Answer: The statement is <u>TRUE.</u>

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