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marishachu [46]
3 years ago
15

Case Co.’s balances in Allowance for Doubtful Accounts were $25,000 at the beginning of the current year and $18,000 at year end

. During the year, receivables of $10,000 were written off as uncollectible. What amount should Case report as bad debt expense at year end?
Business
1 answer:
Gemiola [76]3 years ago
6 0

Answer:

The bad debt expense for the year is 3,000 dollars

Explanation:

We should solve for the bad debt expense with a reverse engineer on the allowance T account

                                       Allowance

                             <u>  DEBIT           CREDIT     </u>

Beginning                                    25,000

write-off                  10,000

bad debt           <u>                                X           </u>

Ending                                          18,000

25,000 - 10,000 + X = 18,000

15,000 + X = 18,000

X = 18,000 - 15,000

X =  3,000

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<u>Explanation: </u>

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3 years ago
Fast-food restaurants like McDonald's are replacing cashiers with touch-screen ordering kiosks. Currently the MPL for an additio
docker41 [41]

Answer:

a. Whataburger is not using the optimal cost-minimizaing mix of cashier and kiosks.

b. Whataburger should hire more cashier and rent fewer kiosks in order to improve its mix of inputs and minimize the cost

Explanation:

a. According to the given data we have the following:

Let "C" is a cashier.

"K" is a kiosk

MPC = 48 (Marginal Product of Cashier)

MPK = 32 (Marginal Product of Kiosk)

PC = $15 (cashier can be hired for a wage of $15)

PK = $12 (Kiosk rents for $12)

At optimal cost minimization point, (MPC / MPK) = (PC / PK)

(MPC / PC) = (MPK / PK)

(MPC / PC) = (48 / 15) = 3.2

(MPK / PK) = (32 / 12) = 2.67

Since the (MPC / PC) and (MPK / PK) is not equal. It implies Whataburger is not using the optimal cost-minimizaing mix of cashier and kiosks.

b. We have to use the following:

(MPC / PC) > (MPK / PK)

i.e., 3.2 > 2.67

It means Whataburger hire more cashier and rent fewer kiosks in order to improve its mix of inputs and minimize the cost.

4 0
3 years ago
Why do older kids think they know every thing?
fomenos

Answer:

I have no clue tbh lol they think they are the boss of us

8 0
3 years ago
Read 2 more answers
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Elenna [48]

Answer:

$2.8 divdends per share

Explanation:

$56 market price

Rate of return 10%

The gain for an investment in stocks is:

\frac{DividendsYield+SharePriceVariation}{Investment} = $Return on Investemnt

In this case we are told that this is distribute evenly, this means:

dividends paid = market price gain

So dividends yield 5% and market price yields another 5% to achieve the 10%

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5 0
3 years ago
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amid [387]

Answer:

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Giving the following information:

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Variable costs (4,620,000)

Contribution margin $1,540,000

Fixed costs (440,000)

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degree of operating leverage= Total contribution margin / operating income

degree of operating leverage= 1,540,000 / 1,100,000

degree of operating leverage= 1.4

3 0
3 years ago
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