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Zanzabum
3 years ago
11

Under the allowance method, a.bad debt expense is recorded when specific customer accounts are determined to be uncollectible. b

.the allowance account and estimates are used. c.the allowance account is used, but estimates are not. d.primary users are small companies with few receivables.
Business
1 answer:
solniwko [45]3 years ago
6 0

Answer:

B) the allowance account and estimates are used.

Explanation:

When a company uses the allowance method, it will record an adjusting entry for the losses it anticipates from bad credits given to customers. The bad debts expense account is debited and the allowance for doubtful accounts (contra asset) is credited. Then as time passes and the amount of bad debts is  exactly determined, another adjusting entry is necessary depending whether the estimate was correct or not, or if it was under or over estimated.

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How is the relationship between unitss in the money system in the u.s. similar to the metric system
Agata [3.3K]

Answer:

Both the metric system and the US monetary system are based on the system of tens.

Explanation:

The metric system is based on the meter, which is divided into 100 centimeters, while the US monetary system is based on the dollar that is divided into 100 cents.

Generally speaking all Americans and most US organizations use the Imperial  System (along with Liberia and Myanmar), while the rest of the world uses the metric system. But some American organizations use the metric system also, like the military and many financial institutions, specially those that export or trade with commodities.

What s really intriguing about this, is that the metric system is the official measuring system of the US since 1866, but it hasn't been massively applied yet.

3 0
3 years ago
How did the Great Depression affect economists’ beliefs about the macroeconomy?
ziro4ka [17]
<span>The Great Depression affected economists' beliefs about the macroeconomy because it made them realize that the U.S. economy actually depends on the economies of countries around the world. Prior to this, the thought was that our economy was solely dependent on actions within the U.S.</span>
7 0
3 years ago
Read 2 more answers
Exotech has an inventory turn ratio of 60 with $50 million in annual sales, and an average inventory of $250,000. What is Exotec
Goryan [66]

Answer:

$15 million

Explanation:

Data provided in the question:

Inventory turn ratio = 60

Annual sales = $50 million

Average inventory = $250,000

Now,

we know,

Inventory turn ratio  = ( Cost of goods sold ) ÷ ( Average inventory )

thus,

60 = ( Cost of goods sold ) ÷ $250,000

or

Cost of goods sold = 60 × $250,000

or

Cost of goods sold = $15,000,000 or $15 million

8 0
3 years ago
​Treasurers, Inc., a manufacturer of gift​ articles, uses a single plantwide rate to allocate indirect costs with machine hours
Gekata [30.6K]

Answer:

predetermined overhead allocation rate is $228 per hour

Explanation:

given data

Estimated over head costs = $8,000,000

Estimated machine hours = 35,000

actual machine hours = 31,000

to find out

predetermined overhead allocation rate

solution

we know that predetermined overhead allocation rate is express as

predetermined overhead allocation rate = \frac{estimate overhead cost}{estimate machine hour}

put here value

predetermined overhead allocation rate = \frac{8000000}{35000}

predetermined overhead allocation rate = $228.571

so predetermined overhead allocation rate is $228 per hour

3 0
3 years ago
HD had reported a deferred tax asset of $130 million with no valuation allowance. At December 31, 2021, the account balances of
oksano4ka [1.4K]

Answer:

$101 million income tax expense

Explanation:

The income tax of HD can be computed by beginning with income tax payable less the increase in deferred tax asset in the year and finally by deducting the portion of current deferred tax asset that cannot be realized as shown below:

Current income tax payable                           $90 million

increase in deferred tax asset($170-$130)     ($40 million)

unrealized deferred tax asset ($170*30%)      $51 million

income tax expense in income statement      $101 million

The HD income tax expense in income statement in 2021 is $101 million as computed due to the fact that prior payment in tax ha been paid in the year

7 0
3 years ago
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