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OLga [1]
3 years ago
11

The Allowance for Bad Debts account has a credit balance of $ 5 comma 000$5,000 before the adjusting entry for bad debts expense

. Theâ company's management estimates that 22â% of net credit sales will be uncollectible for the year 2019. Net credit sales for the year amounted to $ 260 comma 000$260,000. What will be the balance of Allowance for Bad Debts on the Decemberâ 31, 2019 balanceâ sheet?
Business
2 answers:
lorasvet [3.4K]3 years ago
5 0

Answer:

62,200

Explanation:

The Allowance for Bad Debts account has a credit balance of $5,000 before the adjusting entry for bad debts expense. The company's management estimates that 22% of net credit sales will be uncollectible for the year 2019. Net credit sales for the year amounted to $260,000. The balance of Allowance for Bad Debts on the December 31, 2019 balance sheet would be 62,200.

GaryK [48]3 years ago
4 0

Answer:

62,200 allowance ending

Explanation:

allownce 5,000 credit

<u>Because the bad debt is calculate over the sales,</u> the bad debt expense is the result of that estimated, without considering the beginning balance of the allowance.

22% of net credit sales will be uncollectible:

260,000 x 22% = 57,200

<u>Now ending balance will be beginning + uncollectible for the period</u>

5,000 beginning

57,200 uncollectible for the period

62,200 allowance ending

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Answer:

The correct answer is letter "A": Suspects who are being questioned by police.

Explanation:

Suspects of a crime are people who the police believe guilty of an offense based on information they have gathered that may prove that people are at fault, yet, guilt has not been proven. During a questionnaire, suspects are not the responsibility of the government. Then, in front of any medical issue caused during the interview, the suspect will have to handle the coverage of the assistance expense with <em>his or her insurance</em>.

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3 years ago
Saying that Risk and Return go hand in hand, tells us that you ________ as the length of the investment horizon ________." A. ca
klio [65]

Answer:

A. can afford to take on additional risk; increases

Explanation:

Saying that Risk and Return go hand in hand, tells us that you <u>can afford to take additional risk </u> as the length of the investment horizon <u>increases</u>. Increasing the length of the investment horizon increases the ability to take on additional risk because in the long run the investment pays off while it may be choppy in the short time horizon.

5 0
2 years ago
Gail Schneeweis is a nurse at Central City Hospital. She is paid $33.62 per hour and has a 40-hour standard workweek. During the
fenix001 [56]

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3 0
2 years ago
Blossom Company was organized on January 1. During the first year of operations, the following plant asset expenditures and rece
Westkost [7]

Answer:

Building:

cost of bulding                          25,100

write-off demolished building <u>(25,100)</u>

Balance:                                              0

Building under construction:

exacavation cost 13,100

architect's fees    32,100

contractor           <u>640,100</u>

Balance:              685,300

Land:

acquisition cost                        255,100

property taxes paid at purchase<u> 2,180</u>

Balance:                                   257,280

Land improvements:

parking lot and driveways 28,100

fences                                  <u>  5,810</u>

balance                                33,910

period cost:

demolition expense           24,100

salvage from demolition    (11,000)

property taxes expense        5810

loss at disposal (building) <u> 25,100</u>

balance:                              44,010

Explanation:

For building and land we should follow the accounting procedure of include all the incurred or assumed cost to contruct and leave it ready to use.

As there is no indication that construction was completed we should assume the building is under construction.

As we demolish the old building we should write-off and recognize  the loss and the demolition expense.

The property taxes after the purcahse are cost of the period.

Before the taxes were a necessary cost to acquire the land.

The salvage from the demolition decrease the expense are not considered revenue.

4 0
3 years ago
Spice sells paprika for $9.00 per bottle. Variable cost is $2.43 per bottle and Spice's annual fixed costs are $825,000. The var
yKpoI14uk [10]

The variable expense ratio for paprika is 27%.

<h3>Variable expense ratio</h3>

Using this formula

Variable expense ratio=Variable cost/Selling price

Where:

Variable cost=$2.43

Selling price=$9

Let plug in the formula

Variable expense ratio=2.43/9×100

Variable expense ratio=27%

Inconclusion the variable expense ratio for paprika is 27%.

Learn more about variable expense ratio here:brainly.com/question/15684424

5 0
2 years ago
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