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Arada [10]
3 years ago
8

During 2018, its first year of operations, Pave Construction provides services on account of $142,000. By the end of 2018, cash

collections on these accounts total $101,000. Pave estimates that 25% of the uncollected accounts will be bad debts.
Required:
1. Record the adjustment for uncollectible accounts on December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Journal entry worksheet Record the adjustment entry for Uncollectible Accounts Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2018 Bad debt expense 10,250 Allowance for uncollectible accounts 10,250
2. Calculate the net realizable value of accounts receivable.
Business
1 answer:
Dimas [21]3 years ago
5 0

Answer:

1. Record the adjustment for uncollectible accounts on December 31, 2018.

Dr Bad debt expense 10,250

    Cr Allowance for doubtful accounts 10,250

Allowance for doubtful accounts is a contra asset account that reduces the amount of accounts receivable and has a credit balance.

2. Calculate the net realizable value of accounts receivable.

net realizable value of accounts receivable  = total accounts receivable - allowance for doubtful accounts = $41,000 - $10,250 = $30,750

Explanation:

total services on account $142,000

cash collected $101,000, remaining accounts receivable $41,000

25% of remaining accounts receivable will be uncollectible = $41,000 x 25% = $10,250 in bad debts

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BARSIC [14]

Answer:

I'm not the best at probability  but i hope this helps

Explanation:

to find the answer to this, you need to find the probability of a & the probability of b is a occurs. in this case the probability of a is 1/43 and the probability of the boy picking a fruit chew now becomes, 1/42.  Now to find the total probability it's the p(A) + p(B) – p(A and B) hope this helps.

8 0
3 years ago
Consider a bond with the following characteristics. Par: $1,000 Two coupon payments per year (i.e., coupons are paid semi-annual
MAXImum [283]

Answer:

The new price of the bond is $928.94

Explanation:

Initially the bond's price is equal to its par value which means the coupon rate on bond and the market interest rates are the same i.e. 6%.

Th bond's price is calculated as the sum of the present value of the annuity of interest payments by the bond and the present value of the face value of the bond that will be received at maturity. The discount rate used to calculate the present values is the market interest rate.

As the bond is a semiannual bond, we will use the semi annual coupon payment, the semi annual percentage of the annual rate of interest on market and the number of semi annual periods outstanding.

Semi annual coupon payment = 1000 * 0.06 * 6/12 = $30

Number of semiannual periods till maturity = 10 * 2 = 20 periods

New market interest rate = 6 + 1 = 7% annual

New semi annual market interest rate = 7% / 2 = 3.5%

Price of bond =  30 * [ (1 - (1+0.035)^-20) / 0.035 ] + 1000 / (1+0.035)^20

Price of bond = $928.938 rounded off to $928.94

We used the present value of annuity ordinary formula for preset value of interest payments and the normal present value of principal formula for the face value.

5 0
3 years ago
The City of Matthews has been given a $1,000,000 gift that is restricted by the donor, Rebecca Smith. Ms. Smith’s gift agreement
Evgesh-ka [11]

Answer:

It is called A PERMANENT FUND.

Explanation: A PERMANENT FUND is a type of governmental fund that is used to record and account for endowments such as gifts for government or non governmental organisations.

This fund often times is used in financing civic projects, facilities owned by the city concerned and the likes.

8 0
3 years ago
Waterway industries, has 4700 shares of 5%, $50 par value, cumulative preferred stock and 100000 shares of $1 par value common s
e-lub [12.9K]

Since the preferred stocks are cumulative in nature, the dividend amount not paid in the current year will be accumulated and paid in the next year.

Preferred dividend to be paid in 2017 = Value of preferred stock x Dividend rate

= (4700 x $50) x 5%

= 11750

Dividend to be paid in 2018 = same as 2017 as no new preferred stock issued

= 11750

Total dividend to be paid in 2018 = Dividend to be paid in 2018 + Dividend to be paid in 2017 – Dividend paid in 2017

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5 0
3 years ago
A manufacturer of handcrafted wine racks has determined that the cost to produce x units per month is given by upper c equals 0.
Fantom [35]

Answer:

The cost per month is increasing at a rate $365.

Explanation:

Differentiation Formula

  • \frac{d}{dx}(x^n)= nx^{n-1}  
  • \frac{d}{dx}(a)=0             [ where a is a constant]
  • \frac{d}{dx}(ax^n)=a \frac{d}{dx}(x^n)= anx^{n-1}

Given that,

A manufacturer of handcrafted wine racks has determined that the cost to produce x units per month is given by

c=0.2x^2+10,000.

Again given that,

the rate of changing production is 13 unit per month

i.e \frac{dx}{dt}=13

To find the cost per month, we need to find out the value \frac{dc}{dt} when production is changing at the rate 13 units per month and the production is 70 units.

c=0.2x^2+10,000

Differentiating with respect to t

\frac{d}{dt}(c)=\frac{d}{dt}(0.2x^2)+\frac{d}{dx}(10,000)

\Rightarrow \frac{dc}{dt}=0.2\frac{d}{dt}(x^2)+\frac{d}{dx}(10,000)

\Rightarrow \frac{dc}{dt}=0.2\times 2x^{2-1}\frac{dx}{dt}+0

\Rightarrow \frac{dc}{dt}=0.4x\frac{dx}{dt}

Plugging \frac{dx}{dt}=13

\Rightarrow \frac{dc}{dt}=0.4x\times 13

\Rightarrow \frac{dc}{dt}=5.2x

\frac{dc}{dt}|_{x=70}=5.2\times 70 [ plugging x=70]

            =364

[ The unit of c is not given. Assume that the unit of c is dollar.]

The cost per month is increasing at a rate $365.

4 0
2 years ago
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