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3 years ago

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Under the allowance method, writing off an uncollectible account a. affects only balance sheet accounts. b. affects both balance

sheet and income statement accounts. c. affects only income statement accounts. d. is not acceptable practice

1 answer:

scoray [572]3 years ago

8 0

Answer:

A. affects only balance sheet accounts

Explanation:

writing off an uncollectible account affects only balance sheet accounts

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Anna employs Mark to purchase for her a suitable site for a roller rink. Mark owns a huge site himself and sells it to Anna at f

mylen [45]

Answer:

Fiduciary

Explanation:

A fiduciary is a person that is appointed to protect the interests of his principal.

He should ensure that all transactions favor his principal maximally. It also entails full disclosure.

In this case, Mark was going to be the beneficiary of the sale. Even if the site was sold at fair market value, Mark has responsibility to fully disclose the source of the transaction to Anna.

Conflict of duty is when the fiduciary benefits from his position. This is not allowed.

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I need a sentence with the word carbon offset in it

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2 years ago

Orchard Farms has a pretax cost of debt of 7.29 percent and a cost of equity of 16.3 percent. The firm uses the subjective appro

svp [43]

Answer: Net present value = $446,556

Explanation:

First we'll compute the Weighted Average Cost of Capital :

Weighted Average Cost of Capital = $K_{e} \times W_{e} + K_{d} \times W_{d}$

= 0.163× $\frac{1}{1.48}$ + 0.0729× (1 - 0.35 )× $\frac{0.48}{1.48}$

= 0.1255

where;

$K_{e}$ = Cost of equity

$W_{e}$ = Proportion of equity

$K_{d}$ = Cost of debt

$W_{d}$ = Proportion of debt

Now, we'll compute the cost of capital using the following formula:

Cost of capital = Weighted Average Cost of Capital + adjustment factor

= 0.1255 + 0.0125

= 0.138 or 13.8%

∴ Net present value = Cash outflows - Total PV of cash flows

= $3,900,000 - $1,260,000 (Annuity value of 13.8% for 5 years)

$= 3,900,000 - 1260000 \times \frac{[1-(1+13.8)^{-5}]}{13.8}$

= $3,900,000 - $3,453,444

= $446,556

Therefore, the correct answer is option(b).

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3 years ago

Finney Company's condensed income statement is presented below: Revenues $988,000 Expenses Cost of goods sold $400,000 Operating

larisa [96]

Answer:

Explanation:

Operating Segment

Hotels Grains Candy Totals

Revenues (1) $378,000 $450,000 $72,000 $900,000

Expenses—

Cost of goods sold (1) 192,000 196,000 12,000 400,000

Operating and admin. expense (2) 58,000 91,000 27,000 176,000

Depreciation expense (3) 14,900 12,800 2,300 30,000

Total expenses 264,900 299,800 41,300 606,000

Operating profit $113,100 $150,200 $30,700 $ 294,000

(1) Total times segment percentage.

(2) Hotels = ($200,000 × 35%) - $12,000 = $58,000

Grains = ($200,000 × 50%) - $9,000 = $91,000

Candy = ($200,000 × 15%) - $3,000 = $27,000

(3) Hotels = ($40,000 × 46%) - $3,500 = $14,900

Grains = ($40,000 × 42%) - $4,000 = $12,800

Candy = ($40,000 × 12%) - $2,500 = $2,300

3 0

2 years ago