3 years ago

One of the weaknesses of the direct write-off method is that it

Business

1 answer:

Gennadij [26K]3 years ago

5 0

Answer:

violates the matching principle

Explanation:

The direct write-off method is an accounting method for recognizing bad debts expense arising from credit sales when individual invoices has been identified as uncollectible.

In Accounting, one of the weaknesses of the direct write-off method is that it violates the matching principle.

The direct write-off method is a method of accounting for uncollectible receivables.

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HACTEHA [7]

Answer:

$175,808

Explanation:

P=R (1-(1+i)^-n)/i

Where P=780,000*90%=$702,000

R=?

i=8%

N=5 years

By putting above values in formula, we get

P=R(1-(1+.08)^-5)/.08

702,000=R*3.993

R=702,000/3.993

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2 years ago

A student wants to determine what type of cereal his classmates like best. he buys three of his favorite puffed rice cereals and

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3 years ago

Hyde's Headphones sells deluxe headphones for $90 each. Unit variable expenses total $70. The breakeven sales in units is 1000 a

crimeas [40]

Answer:

0.7835 or 78.35%

Explanation:

Budgeted Sales = $90 per unit x 4620 units = $415,800

Break-Even Sales (Revenue) = 1000 units x $90 per unit = $90,000 units

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Margin of Safety = ($415,800 - $90,000) ÷ $415,800 = 0.7835 or 78.35%

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3 years ago

Dyer Furniture is expected to pay a dividend of D1 = $1.25 per share at the end of the year, and that dividend is expected to gr

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Answer:

Market price: 28.90

Explanation:

We will calculate the stock price using the gordon dividend grow model:

$\frac{divends}{return-growth} = Intrinsic \: Value$

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grow = g = 6% = 6/100 = 0.06

return= for the return, based on the information give, we will calculate it using the CAPM model:

$Ke= r_f + \beta (r_m-r_f)$

risk free = 0.04

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beta(non diversifiable risk)= 1.15

$Ke= 0.04 + 1.15 (0.055)$

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$\frac{1.25}{0.10325-0.04} = Intrinsic \: Value$

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Market price: 28.90

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3 years ago

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miss Akunina [59]

Like wow this is hard
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"<span>concentration of media power"

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3 years ago