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ohaa [14]
3 years ago
10

Events that occur after the December 31, 2018 balance sheet date, but before the balance sheet is issued, and provide additional

evidence about conditions that existed at the balance sheet date and affect the realizability of accounts receivable should be:_______
a. discussed only in the MD&A (Management's Discussion and Analysis) section of the annual report.
b. disclosed only in the Notes to the Financial Statements.
c. used to record an adjustment to Bad Debt Expense for the year ending December 31, 2018
d. used to record an adjustment directly to the Retained Earnings account
Business
1 answer:
Ludmilka [50]3 years ago
4 0

Answer: c. used to record an adjustment to Bad Debt Expense for the year ending December 31, 2018

Explanation:

Since the events occur after the balance sheet date, but before the balance sheet is issued, and gives more evidence about conditions that existed at the balance sheet date, then it should be used to record an adjustment to Bad Debt Expense for the year ending December 31, 2018

This is because an adjustment gives more information to the information already given in the balance sheet. Therefore, the correct option is C.

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8 0
2 years ago
For Gundy Company, units to be produced are 5,280 in quarter 1 and 6,400 in quarter 2. It takes 2.0 hours to make a finished uni
Lorico [155]

Answer:

Total cost= $350,400

Explanation:

Giving the following information:

For Gundy Company, units to be produced are 5,280 in quarter 1 and 6,400 in quarter 2. It takes 2.0 hours to make a finished unit, and the expected hourly wage rate is $15 per hour.

Quarter 1:

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7 0
3 years ago
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6 0
4 years ago
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It's a good idea to call a day or two in advance to confirm your appointment.
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Answer:yes

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Answer:

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When sales forecasts are made based on educated guess,the sales budget is prepared using the most appropriate selling price  per unit.

Thereafter,based on the number of units planned for sales,the required materials needed to accomplish the sales level is forecast,hence direct material purchases budget is prepared with informed unit cost of material.

Lastly,the income statement which encompasses both revenue from sales budget in addition to costs from direct materials purchase budget is finalized.

8 0
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