1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
scZoUnD [109]
3 years ago
6

Oceanside Company uses the balance sheet approach in estimating uncollectible accounts expense. Its Allowance for Doubtful Accou

nts has a $2,300 credit balance prior to adjusting entries. It has just completed an aging analysis of accounts receivable at December 31, 2018. This analysis disclosed the following information:
Age Group Total Percentage considered uncollectiable
Not yet due $56,000 1%
1â30 days past due 30,000 4%
31â60 past due 15,000 6%

Required:
What is the appropriate balance for Oceanside's Allowance for Doubtful Accounts at December 31, 2018?
Business
1 answer:
Bezzdna [24]3 years ago
6 0

Answer:

$4,960

Explanation:

The computation of the appropriate balance for  Allowance for Doubtful Accounts but before that first we need to find out the allowance for doubtful debts which are shown below:

= Not yet due × given percentage + past due balance × given percentage + past due balance × given percentage

= $56,000 × 1% + $30,000 × 4% + $15,000 × 6%

= $560 + $1,200 + $900

= $2,660

And, there is a credit balance of $2,300

So, the appropriate balance is

= $2,660 + $2,300

= $4,960

You might be interested in
Question 2
laila [671]

Answer:

A

Explanation:

Calculate the payback period and net present value for each project assuming a 10 % discount rate

7 0
1 year ago
$511,000 bond issue sold for $483,000. Therefore, the bonds: Multiple Choice Sold for the $511,000 face amount less $28,000 of a
Brrunno [24]

Answer: Sold at a discount because the market interest rate was higher than the stated rate. S

Explanation:

the bonds was Sold at a discount because the market interest rate was higher than the stated rate. This is as a result of the bonds issued which were at a discount having its market price way lower than its face value. Bonds tends to be sold at a discount when the market interest rate has exceeded the stated rate of the said bond.

6 0
2 years ago
At its $60 selling price, Atlantic Company has sales of $15,000, variable manufacturing costs of $4,000, fixed manufacturing cos
mash [69]

Answer:

$36

Explanation:

The contribution margin per unit is calculated by subtracting the variable cost per unit from the selling price.

Selling price is $60

Contribution margin per unit?

The total sales in dollar value are $15,000, The sales in units equal to

=$15,000 /60

=250 units

Total variable costs will include variable manufacturing cost plus variable selling and administrative costs

=$4000 + $2000

=$6000

variable cost per unit will be the total variable cost divide by units produced

=$6000/250

=$24

Contribution margin per unit = $60- $24

=$36

6 0
3 years ago
To assign overhead costs to each product, the company:_____.
mina [271]

Answer:

a. multiplies the activity-based overhead rates per cost driver by the number of cost drivers expected to be used per product.

Explanation:

Costing is the measurement of the cost of production of goods and services by assessing the fixed costs and variable costs associated with each step of production.

Generally, an activity-based costing uses multiple cost pools such as manufacturing cost or customer services and multiple cost drivers such as direct labor hours worked, number of changes used in engineering department, etc.

Cost pool is simply the amount of money spent by a firm on a particular activity.

Hence, to assign overhead costs to each product, the company multiplies the activity-based overhead rates per cost driver by the number of cost drivers expected to be used per product.

In activity-based costing, the activity rate for an activity cost pool is calculated by using the following formula;

Activity rate = total overhead cost/activity for the activity cost pool.

4 0
2 years ago
How do marginal costs<br> and benefits relate to trade-offs?
Lisa [10]

Answer:

A trade-off is the actual alternative option that is given up, while the value of this alternative option is the opportunity cost. ... Marginal cost is the cost of using one more unit of a good or service, and marginal benefit is the benefit or satisfaction received from using one more unit of a good or service.

Explanation:

6 0
3 years ago
Other questions:
  • Reba dixon is a fifth-grade schoolteacher who earned a salary of $38,000 in 2017. she is 45 years old and has been divorced for
    15·1 answer
  • he following information is available for completed Job No. 402: Direct materials, $170000; direct labor, $230000; manufacturing
    15·1 answer
  • The risk-free rate is 7% and the expected rate of return on the market portfolio is 11%. a. Calculate the required rate of retur
    6·1 answer
  • During the 2001 anthrax scare, the U.S. government threatened to disregard Bayer%u2019s patent of ciprofloxacin, the most effect
    13·1 answer
  • Stock A's stock has a beta of 1.30, and its required return is 12.00%. Stock B's beta is 0.80. If the risk-free rate is 4.75%, w
    14·1 answer
  • The law of demand states that ____________and quantity demanded are _____________ related, ceteris paribus.
    13·1 answer
  • Brad could no longer stand the smell emanating from his neighbor Clarence's compost heap that grew more odorous as the summer pr
    6·1 answer
  • Christopher is a licensed sales agent sponsored by Coastal Realty in Corpus Christi, Texas. Jose has been a real estate broker i
    8·1 answer
  • Random variations represent either increasing or decreasing movements over many years due to factors such as population growth,
    10·1 answer
  • In contrast to _______ and _______ the obligations of corporations are separate and distinct from the personal obligations of th
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!