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Wewaii [24]
3 years ago
13

Essence of Skunk Fragrances, Ltd., sells 5,750 units of its perfume collection each year at a price per unit of $445. All sales

are on credit with terms of 1/10, net 40. The discount is taken by 35 percent of the customers.
Required:
What is the amount of the company's accounts receivable?
Business
1 answer:
lukranit [14]3 years ago
8 0

Answer:

The amount of the company's accounts receivable is $2,558,750.

Explanation:

Accounts Receivables are amounts owed to the company. They are measured at amounts that the company expects to be entitled to after a sale.

The sale journal is :

Debit : Accounts Receivables (5,750 units x $445) $2,558,750

Credit : Sales Revenue (5,750 units x $445)  $2,558,750

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Answer:

A loss of $1400

Explanation:

The double-declining method uses twice the straight-line depreciation method rate in calculating the depreciation amount.

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The double-declining rate will be 40%

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olasank [31]

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