Answer:
Since the debt has already been provided for by Debiting bad debt expense $42,400 and Crediting Allowance for doubtful debt $42,400, the entries required to write off the debt from Ramirez Company of $6,330 will be
Debit Allowance for doubtful debt $6,330
Credit Accounts receivable $6,330
Being entries to writeoff debt due Ramirez Company of $6,330
Explanation:
When a company makes sales on account, debit accounts receivable and credit sales. Based on assessment, some or all of the receivables may be uncollectible.
To account for this, debit bad debit expense and credit allowance for doubtful debt. Should the debt become uncollectible (i.e go bad), debit allowance for doubtful debt and credit accounts receivable.
Where a debit that had previously been determined to have gone bad gets settled, debit cash and credit bad debt expense.
Answer: C - $0; $40,000
Explanation: From the above question, the phrase 3/10, net 60 means Henry is entitled to a 3% discount if payment is make on or before the 10th day while the net 60 means that the invoice is due in 60 days anytime after the 60th day, the invoice becomes overdue.
From the question, the invoice total is $40,000. since payment was made on the 20th day, it means Henry is not entitles to any discount and so has to pay the whole of $40,000 on the invoice.
Answer:
$0
Explanation:
Data provided in the question
Generate loss from an otherwise qualified business activity is $10,000
And, the taxable income is $40,000
Since as we can see that there is a loss in qualified business activity so the QBI deduction is zero as it is calculated only on case of profit
And, the taxable income represents the fixed income not the business income so it would not be considered
Answer:
They are not fixed, because they can change depending on the living situation.
Let's say that the demand for the product increases, for example more people move into the area and more people need fresh bread in the morning or more people need to use taxis in this are. If the supply doesn't increase at the same time, the equilibrium prize would increase in this case!
