When a firm plans to issue bonds, it creates a(n) -prime-, which is a legal document that explains its obligations to bondholders?
Answer:
- Dr Bad Debt expense 6,000
- Cr Allowance for Doubtful Accounts account 6,000
Explanation:
The total estimated bad debts are $4,800 (= $80,000 x 6%). So the Allowance for Doubtful Accounts account ending balance should be $4,800. Since this account is a contra asset account, the ending balance should be $4,800 credited.
But currently the account has a $1,200 debit balance (it's like -$1,200), so the adjustment record must be = $4,800 + $1,200 = $6,000
That way the ending balance = $6,000 - $1,200 = $4,800
The journal entries should be:
- Dr Bad Debt expense 6,000
- Cr Allowance for Doubtful Accounts account 6,000
Answer:
The “sphere” in lithosphere, atmosphere, and hydrosphere means envelop. The atmosphere, therefore, consists of gases that envelop the Earth. The hydrosphere defines the water that covers 71% of the Earth's surface. The lithosphere refers to the rocks of the Earth's surface and upper mantle, or the depth of the plates.
Explanation:
Answer: when the research costs more than the potential savings
Explanation:
