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Andrej [43]
3 years ago
9

All sales are made on credit. Based on past experience, the company estimates 2.5% of ending account receivable to be uncollecti

ble. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?
Business
1 answer:
Misha Larkins [42]3 years ago
4 0

Answer:

Debit Bad Debts Expense $12,475

Credit Allowance for Doubtful Accounts $12,475

Explanation:

Calculation for estimated bad debts expense:

Explanation

Accounts receivable * Sales uncollectible

$445,000×0.025

=11,125

Hence:

11,125 +Allowance for Doubtful Accounts 1,350

=$12,475

Therefore the estimated bad debt will be:

Debit Bad Debts Expense $12,475

Credit Allowance for Doubtful Accounts $12,475

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Suppose that the salary range for recent college graduates with a bachelor's degree in economics is $30,000 to $50,000, with 25
igor_vitrenko [27]

Answer:

The  Expected Earning for the college graduates is 40,000

Explanation:

The Expected Earning for a college alum with a four year college education in financial matters is determined as weighted normal all things considered, utilizing likelihood of every result as its weight.  

Although the Expected Earning is;  

Expected Earning = (25% × 30,000) + (50% × 40,000) + (25% × 50,000)  

Expected Earning = 0.25 × 30,000 + 0.5 × 40,000 + 0.25 × 50,000  

 Expected Earning = 7500 + 20,000 + 12,500

Expected Earning = 40,000

7 0
3 years ago
Gideon Company uses the direct write-off method of accounting for uncollectible accounts. On May 3, the Gideon Company wrote off
zloy xaker [14]

Answer and Explanation:

The Journal entry is shown below:-

Bad debts expense Dr, $2,000

          To Accounts receivable-Hopkins $2,000

(Being write off is recorded)

Here we debited the bad debt expenses as it increased the expenses and we credited the accounts receivable as it reduced the assets so that the proper posting could be done  

7 0
3 years ago
When several hurricanes hit Florida in 2004, a number of local governments imposed price controls that prevented sellers from ra
liberstina [14]

Answer:

a reduced availability of these badly needed products.

Explanation:

Price control is when the government imposed a price regime that is aimed at protecting the consumer from over pricing by sellers. When price ceilings are imposed there is a maximum price the the seller cannot go above in pricing of products.

In this case if ocal governments imposed price controls that prevented sellers from raising their prices for badly needed products like plywood and generators. It will result in reduced availability of the products to these areas.

Sellers tend to reduce amount supplied, due to scarcity consumers will have to buy at black market prices that are higher.

3 0
3 years ago
Read 2 more answers
What is accountability
Rama09 [41]

Accountability is a promise that a person or a group will be judged on how they perform or behave in relation to anything for which they are accountable.

Though more from the standpoint of oversight, the phrase refers to accountability. For instance, an employee might be in charge of making sure that a response to an RFP (request for proposals) complies with all the standards. Consequences may or may not occur if the work is not completed satisfactorily. Accountability, on the other hand, indicates that the worker is required to successfully complete the task and will need to at least justify their failure.

Learn more about Accountability here

brainly.com/question/980342

#SPJ10

5 0
1 year ago
In the aggregate expenditures model, it is assumed that: a.gross investment (I), government purchases (G), and net exports (NX)
tiny-mole [99]

Answer:

The Correct Option is "B"

Explanation:

Total consumption model was created accordingly of traditional model. It shows the connection between the GDP and arranged spending. The condition of consumption model is as per the following:  

Y = C + I + G + NX  

Where, Y is the genuine GDP, C is Consumption, I Refers to net investment, G is government buys and NX is net ex[port.  

The total use model accept that gross investment (I), government buys (G), and net export (NX) are independent to of genuine GDP (Y) as they don't depend on salary of the economy.

3 0
3 years ago
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