Multiply .15 by $59.00. That number is the discount off of the $59. This number comes out to be $8.85. Now subtract that from 59. This number comes out to $50.15. That would be the price of the shoes. <span />
Solution :
Account Estimated Estimated
receivable loss% bad debts
Current 250,000 0.5 1250
1-30 days of past due 90,000 1.0 900
31-60 days of past due 20,000 2.0 400
61-120 days of past due 11,000 5.0 550
121-180 days of past due 6,000 10.0 600
Over 180 days of past due 4,000 25.0 1000
Total account receivable 381,000 4700
a). The amount for the bad debts expense is = 4700 - (4350 - 3830)
= 4180
b). Balance in the accounts receivable
Accounts receivable = 381,000
Less : allowance for bad debts = - 4180
Net realizable value of the accounts receivable = 376,820
c). Bad debts expense
a). 4180
Balance: 4180
The allowance for un-collectible account
Beg. Bal : 4350
write off : 3830
a). 4180
Balance 4700
$20,000 is correct
When they ask for the amount the bank can "create" they are really asking for the <u>change in the money supply</u><u>.</u> They are required to reserve 20%, so they can loan out 80%
80% * $5,000= $4,000
Now, the bank can use this $4,000 by loaning it out to other customers and earning interest on those loans. The customers can use the money for investments or spending. So the first little deposit of $5,000 has now spread to a lot more people and created a lot more opportunity for growth. This is known as the <u>multiplier effect.</u> To put the multiplier effect in dollar amounts, we need to know how much we are multiplying by. This is called the <u>deposit multiplyer</u> and the formula is 1/(required reserve ratio). The reserve ratio here is 20% or .2
1/(.2)= 5
Our deposit multiplier which will calculate the multiplier effect on the money supply (aka the amount the bank can "create") is 5
5* $4,000= $20,000
<span>A good reason for cutting meats and poultry
into thin slices for sandwiches is that thin cuts are more delicate, a sandwich
produced using dainty cuts is less demanding to eat and many thin cuts make a
thicker sandwich than maybe a couple thick cuts of a similar aggregate weight.</span>
That should be false because it says never and the person is student
