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Darya [45]
3 years ago
11

Over the past five years, a company had average annual credit sales of $320,000 and this year had write-offs of $2,000. Credit s

ales in the current year are $300,000. The balance in the Allowance for Doubtful Accounts is a $500 credit. Using the percentage of credit sales method and an estimate of 1%, what amount should the company record as an estimate of bad debt expense
Business
1 answer:
Zielflug [23.3K]3 years ago
7 0

Answer:

$2,500

Explanation:

Bad debt Expense will be calculated using the percentage of debt loss. The expense will be calculated using the account receivable balance.

Estimated allowance for doubtful accounts = Credit Sales x percentage = $300,000 x 1% = $3,000

Current Balance = $500 credit

As Allowance for Doubtful Accounts already have credit balance of $500, we need to adjust the remainder to make the closing balance of Allowance for Doubtful Accounts $3,000 at the year end.

Adjustment Value = $3,000 - $500 = $2,500

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A major difference between a business plan and a marketing plan is that a business plan will include ________ while a marketing
Sonja [21]
Strategies for each functional area
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3 years ago
Analytical skills give a manager the ability to identify problems creatively, generate _____ alternatives, and select the "best"
Airida [17]

Answer:

reasonable

Explanation:

Analytical skills are a set of skills that allow an individual to collect and analyze information, as well as make decisions accordingly in order to solve complex problems. This is a highly important set of skills for a manager to have since it allows them to identify problems creatively, and generate reasonable alternatives for the best outcome.

6 0
3 years ago
Identifying and Analyzing Financial Statement Effects of Cash Dividends Freid Corp. has outstanding 6,000 shares of $50 par valu
Neporo4naja [7]

Answer:

Assets              =                Liabilities          +               Equity

cash (18,000)                       NA                          Retained earnigns (18,000)

cash (88,000)                      NA                          Retained earnigns (88,000)

Retained earnings is an equity account and any cash dividends paid either to preferred or common stock will decrease cash and retained earnings, remember that both sides must balance.

6 0
3 years ago
Before it can be used, a 12-ounce container of liquid fertilizer must be mixed with 96 ounces of water. What fraction of fertili
VashaNatasha [74]

The fraction of fertilizer in the final mixture is 1/9.

A natural or synthetic material called fertilizer that contains chemical ingredients that help plants grow and produce more. Fertilizers may restore chemical elements that previous crops removed from the soil or increase the land's inherent fertility.

Most of the time, fertilizers' contribution to food production is overlooked. For plants, fertilizers are food. The nutrients that crops remove from the soil and replace with fertilizers. Crop yields and agricultural output would be much lower without the addition of fertilizers.

12 oz fertilizer to 96 oz water will make 12+96 = 108 oz of liquid

=12/108

=1/9

1/9 is the fraction of fertilizer in the final mixture.

To know more about fertilizer refer to:  brainly.com/question/14012927

#SPJ4

5 0
2 years ago
Paul consumes only books and DVDs. At his current consumption​ bundle, his marginal utility from DVDs is 23 and from books is 5.
Paul [167]

Answer:

Paul is not maximizing his utility because MUd/Pd is greater than MUb/Pb

Explanation:

Marginal utility is the extra satisfaction derived from spending an additional unit of money on consuming a particular product or service.

In order to determine if he is maximizing his utility, we must calculate his utility per dollar, and this is done by dividing his Marginal Utility by the price.

Marginal Utility per dollar of DVDs is:

MUd/Pd = 23/11 = 2.09

Marginal Utility per dollar of books is:

MUb/Pb = 5/3 = 1.67

Utility is maximized when MUd/Pd is equal to MUb/Pb and Paul has exhausted his budget.

4 0
3 years ago
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