Since you provide no table, me nor anyone else would not be able to find out his total utility
But if he spends all his income on honey, the most he can buy is :
$16 / 4$ = 4 Jars
That leave either option 1 or option 4 as the answer
Answer: The final stage is Post-Purchase Behavior
Explanation:
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:
The answer is C.
Explanation:
Debt-to-equity ratio is an economical term that is used to express the balance between a companies total debt and its assets. It shows at what ratio the company's assets are funded by investors, stakeholders etc.
Since the industry average debt-to-equity ratio is 0.80 and the two companies have debt-to-equity ratios of 1.00 and 1.50 respectively, they are both over the average.
But with the higher ratio, Carter Co. has a higher financial risk compared to Sunny Co. and the industry average debt-to-equity ratio. So the correct answer is C.
I hope this answer helps.
Answer:
A credit entry of $96,000
Explanation:
When a company makes sales on account, debit accounts receivable and credit sales. Based on assessment, some or all of the receivables may be uncollectible.
To account for this, debit bad debit expense and credit allowance for doubtful debt. Should the debt become uncollectible (i.e go bad), debit allowance for doubtful debt and credit accounts receivable.
Given that Past experience indicates that the allowance should be 10% of the balance in receivables
Allowance = 10% * $600,000
= $60,000
Amount written off of $90,000 would have made the balance in the allowance for doubtful debts to
= $90,000 - $54,000
= $36,000 (Debit)
However, the balance in the account at the end of the year should amount to $60,000 hence the adjustments required
= $60,000 + $36,000
= $96,000 (credit)
