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Llana [10]
2 years ago
10

Which of the following statements is false? Multiple Choice The journal entry to record bad debt expense decreases current asset

s. The journal entry to write off an uncollectible account receivable does not affect current assets. The journal entry to record bad debt expense decreases retained earnings. The journal entry to write off an uncollectible account receivable decreases operating income.
Business
1 answer:
sammy [17]2 years ago
7 0

Answer:

The journal entry to write off an uncollectible account receivable decreases operating income.

Explanation:

Accounts receivable is the amount that debtors owe a business and is collectible at a particular time in the future. If however the debtor is unable to make payment, the amount owed is written of.

The journal entry to record the write-off involves a debit to accounts recievable and reduces allowance for uncollectible account balances.

This does not affect the operating income of the business.

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Sense of independence

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8 0
3 years ago
Net Purchases + Purchases Returns and Allowances + Purchase Discounts equals:
allochka39001 [22]

Answer:

OB. Gross Purchases.

Explanation:

Gross purchases represent all the purchases a business made in a particular period. It includes returns outwards ( purchases returns),  discounts and allowances received.

Net purchases are calculated by subtracting purchase returns, discounts received, and allowances from gross purchases.

Therefore, Net Purchases + Purchases Returns and Allowances + Purchase Discounts= gross purchases.

4 0
2 years ago
Question 1
eimsori [14]

Answer:

Explanation:

I think it's A.

You should always question the source. You might be lucky and discover what they've not said about their product. Or you may discover it is simply not true.

A few years back (many in fact), there was a product on the market call Laetrile. It was produced from peach pits. It has an overwhelming popularity that Sloan Kettering (the Cancer Clinic in New York -- the oldest and largest one in the world), spent some of their needed grant money  to test Laetrile. The results -- nothing. Imagine what happened to those who marketed this product.  Word got around. People with Cancer are pretty desperate. They and their loved ones will try anything.

But the facts on the internet help to dispel this kind of thing.

5 0
2 years ago
Abby, Bobbi, and Deborah each buy ice cream and paperback novels to enjoy on hot summer days. Ice cream costs $5 per gallon, and
umka2103 [35]

Answer:

b. The slope of the budget constraint is the same for each woman.

Explanation:

Budget Line is the combination of two goods that a consumer can buy, given prices & money income (all spent).

Equation : p1x1 + p2x2 = m ;

where p1 & p2 are price of good 1 & 2 , x1 & x2 are quantities of good 1 & good 2 , m = money income  

  • Abby's Budget Line : 5I + 8N = 80
  • Bobbi's Budget Line : 5I + 8N = 60
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Slope of Budget Line represents change (sacrifise) of a good needed to get change (gain) of other good, given same prices & income.

Slope = ΔY/ΔX = Px / Py

Since prices are same for each woman, price ratios & hence the slope of budget line will also be same for all of them.

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3 years ago
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