May i have the answer for this im not quite sure

At the end of the year, Dahir Incorporated’s balance of Allowance for Uncollectible Accounts is $2,400 (credit) before adjustmen

mafiozo [28]

Answer:

The adjustment Dahir would record for Allowance for Uncollectible Accounts:

Debit Bad debts expense $9,600

Credit Allowance for Doubtful Accounts $9,600

Explanation:

At the end of the year, before adjustment, Dahir Incorporated’s balance of Allowance for Uncollectible Accounts is $2,400 (credit).

The company estimates uncollectible accounts to be $12,000

Bad debts expense = $12,000 - $2,400 = $9,600

The adjustment to record Allowance for Uncollectible Accounts:

Debit Bad debts expense $9,600

Credit Allowance for Doubtful Accounts $9,600

8 0

3 years ago

You purchase one IBM July 120 put contract for a premium of $5. You hold the option until the expiration date when IBM stock is

grin007 [14]

Answer: Net loss = $2

Explanation:

Given that,

Purchase one IBM July 120 put contract for a premium of $5

IBM stock is at $123 per share on the market

In buying these kind of call option, a person can makes the profit if the future price of the share is greater than the strike price.

Here,

Profit = $123 - $120 = $3

But, we have to deduct the premium paid that is $5

Therefore,

Net loss = Profit - premium paid

= 3 - 5

=$2 ⇒ This much loss realize on a the investment.

4 0

3 years ago

Suppose there are two cities that have rent controlled apartments. In one city (Albany) all apartments are subject to rent contr

PilotLPTM [1.2K]

Answer:

Which of the following is most likely to be true?

A

Explanation:

A) It will be difficult to find a rent-controlled apartment in Albany or Halftrack; rents for the Halftrack apartments not subject to controls will be higher than they would be without rent control

4 0

3 years ago

Suppose that Taggart Transcontinental currently has no debt and has an equity cost of capital of 10%. Taggart is considering bor

labwork [276]

Answer:

Option (D) is correct.

Explanation:

We have to use MM proposition that cost of equity will change itself in such a manner so that it can take care of its debt.

Cost of equity:

= WACC of all equity firm + (WACC of all equity - Cost of debt ) × (Debt -to-equity ratio)

At the beginning, when there was no debt,

WACC = cost of equity = 10%

Levered cost of equity:

= 10% + ( 10% - 6%) × 0.2

= 10.8%

Therefore, Taggart's levered cost of equity would be closest to 11%.

8 0

3 years ago

You receive a credit card application from Shady Banks Savings and Loan offering an introductory rate of 1.25 percent per year,

lana66690 [7]

Answer:

$793.70

Explanation:

The computation is shown below:

At introductory rate

The rate is 17.8% per year

And, in monthly, the rate would be

= 1.25% ÷ 12 months

= 1.4833%

Time is 6 months

Amount after 6 month would be

= Balance × (1 + interest rate)^ time period

= $8,000 × (1 + 0.1042%)^6

= $8,050.15

The interest after 6 month is

= $8,050.15 - $8,000

= $50.15

Now for increase rate to 17.8%

The rate is 17.8% per year

And, in monthly, the rate would be

= 17.8% ÷ 12 months

= 1.4833%

Time is 6 months

Amount after 6 month would be

= Balance × (1 + interest rate)^ time period

= $8,050.14 × (1 + 1.4833%)^6

= $8,793.70

The interest after 6 month is

= $8793.70 - $8,050.15

= $743.55

So, the total interest would be

= $50.15 + $743.55

= $793.70

5 0

3 years ago