Answer:
$6,250
Explanation:
Cost of machine = $114,800
Salvage value = $14,800
Life of machine = 4 years
Depreciable cost = Cost - Salvage value
= $114,800 - $14,800
= $100,000
Date of purchase = October 1, 2020
Assets used for period in 2020 = 3 months
Annual depreciation:
= Depreciable cost ÷ life of assets
= $100,000 ÷ 4
= $25,000
Depreciation expense for 2020:
= Annual depreciation × (3 ÷ 12)
= 25,000 × (3 ÷ 12)
= $6,250
Answer:
Bad debt expense is recorded in the same year as the credit sale.
Explanation:
Allowance method is generally refer to one of the ways for reporting the uncollectible or bad debt expense which results from a company selling the goods on credit.
This method is used for the process or procedure of uncollectible accounts receivable that records the estimate of the bad debt expense in the same accounting year to which is belongs as the sale. This method is used for adjust the accounts receivable appears on the balance sheet of the company.
Answer:
A. $302,000
Explanation:
The computation of the net income under accrual basis accounting is shown below:
= Billed in revenues on credit - incurred expenses
= $496,000 - $194,000
= $302,000
The prepaid expenses and the received amount would not be considered in the computation part. Hence, ignored it
Only revenues on credit and incurred expenses are considered in the computation part. No other item values would be taken.
Answer:
$5,000 taxable
Explanation:
In this scenario, the tax consequence of withdrawal will be $5,000 taxable. This is because annuity contract contributions are not tax-deductible, meaning that the original contribution of $10,000 has already been taxed. Therefore in this situation all $5,000 will be taxable, luckily since the individual is over the age of 59 1/2 then the distribution is not subjected to a 10% penalty tax for premature distribution.
Before your first day of work, it is a good idea to : C. Drive to work to see how long it takes
One of the most important thing to do in your first day of work is to display a good first impression, and coming late to your work at the first day will destroy your boss' first impression about you, in order to avoid that, you should check out the amount of time needed to get to work
