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lidiya [134]
3 years ago
15

The Reingold Hat Company uses the allowance method to account for bad debts. During 2018, the company recorded $800,000 in credi

t sales. At the end of 2018, account balances were: Accounts receivable, $120,000; Allowance for uncollectible accounts, $3,000 (credit). If bad debt expense is estimated to be 3% of credit sales, the appropriate adjusting entry will include a debit to bad debt expense of:
Business
1 answer:
olasank [31]3 years ago
4 0

Answer:

$24,000

Explanation:

Since in the question it is given that the  3% of credit sales is considered to be a bad debt expense

where,

Credit sales is $800,000

And, the estimated percentage is 3%

So by considering this above information, the amount debited to bad debt expense is

= $800,000 × 3%

= $24,000

All the other information i.e to be given is not relevant. Hence, ignored it

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For a​ manufacturer, the budgeted income​ statement________. A. does not include depreciation expense B. is​ accrual-based C. in
marissa [1.9K]

Answer:

For a​ manufacturer the budgeted income​ statement includes amounts from the​ sales, cost of goods​ sold, cash, and capital expenditures budgets (c)

Explanation:

Like a typical income statement, the Budgeted income statement would show its Sales Forecast, and the resultant costs of producing these volume projected. It will usually follow a trend consistent with the Previous years Business seasonality, peak and lows, and duration of consumer improved disposable income (e.g periods of tax credit, black friday etc).

In addition a Business will want to forecast its Cashflow and Capital expenditure (Balance Sheet) so as to have a general view of what to expect if circumstances turn out as planned and to have a picture of how much growth or decline it is projecting into the future.

8 0
4 years ago
The following information was taken from the accounting records of Gorky Corporation for the year ended December 31, Year 1: Cas
Romashka-Z-Leto [24]

Answer:

Cash flow generated from financing activities: 5,200,000

Explanation:

Financing activities are the cash outflow and inflow from the company's debt and equity. Take and repayment of debt, interest on debt and dividend yield will be included in this section:

Cash received from issuance of notes payable    8,000,000

Dividends paid on Gorky common stock                (800,000)

Repayment of notes payable                           <u>     (4,000,000)   </u>

Cash flow generated from financing activities: 5,200,000

The machinery and planyt building are not financing activities. So we ignore them.

8 0
3 years ago
A company will buy 1000 units of a certain commodity in one year. It decides to hedge 80% of its exposure using futures contract
Nataliya [291]

Answer:

$96 per unit

Explanation:

The computation of the average price paid for the commodity is shown below:

Average price = Total cost ÷ Total number of units

where,

Total cost = Total number of units buyed × spot rate - hedge fund

where,

Hedge fund is

= 1,000 × 80% × ($110 - $90)

= $16,000

So, the total cost is

= 1,000 units × $112 - $16,000

= $96,000

Now the average price is

= $96,000 ÷ 1,000 units

= $96 per unit

6 0
3 years ago
Matt Shaw buys 100 shares of common stock for $8,000 in January. The value of the stock fluctuates in a narrow range (averaging
jekas [21]

Answer:

a. $8,200

Explanation:

The same accounting principles would be applied to non-profit entities while recording their assets as applied to other entities.

Non-profit entity would record its assets at fair value same as assets are recorded by other entities.

3 0
3 years ago
Which career professional is not part of the Business, Management, and Administration career cluster?
LUCKY_DIMON [66]

Hello!

<u><em>The answer should be the last options.</em></u>

Explanation: Human Resources Director is part of the business, management, and administration career clusters. Assistant to the Chief Executive Officer is part of the business, management, and administration career clusters. Business Accountant is part of the business, management, and administration career clusters. <em><u>Mathematics Instructor is "not part of the business, management, and administration career cluster".</u></em> Hope this helps! Thank you for posting your question at here on Brainly. Have a great day! -Charlie

4 0
4 years ago
Read 2 more answers
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