The amount of uncollectible accounts expense recognized on the Year 2 income statement is $1,830.
Explanation:
- On January 1, Year 2, Grande Company had balance = $69,600 in the Accounts Receivable account
- Grande provided services = $183,000
- The Allowance for Doubtful Accounts account = $2,600
- The company collected cash from accounts receivable = $215,500
- Uncollectible accounts are estimated to be = 1% of sales on account
- Thus, following calculation gives the desired result,
- Multiply amount of Grande services with 1% sales on account.
- i.e : $183,000 sales on account × 1% = $1,830
- So, the amount of uncollectible accounts expense is $1,830 as the income statement for the 2nd year.
- The reserves are recorded when, the uncollectible accounts expense are debited and credit the allowance for the uncollectible accounts.
- There are many reasons for the uncollectible accounts such as,
- the debtor's bankruptcy,
- the inability to get the debtor,
- fraud, etc
Answer:
Given items categorised in 'Consumption / Investment / Government Expenditure / Net Export' components of GDP
Explanation:
Purchase of used couch on Las Vegas casinos : <u>Not included</u> in GDP, as trade of second hand goods & windfall gains are not included in GDP.
Commission paid to E-Trade because they facilitated a stock trade : Included in '<u>Consumption</u>', as it commission is a factor payment done for a productive service
T
he sale of bolts to Ford to be used on the tires of the vehicles :<u> Not included</u>, as GDP includes only final goods & this is an intermediate good used in production process
The sale of a song written by a Californian to a customer in Kansas : Sale of creative work content within the economy. So, it is included in <u>Consumption</u>
Increase in Apple's inventories of iPads : Inventories are a part of capital stock, so increase in capital stock is included in <u>Investment </u>
Purchase of a new tractor by a farmer : Farmer has added is capital stock, by adding an asset. It comes in <u>Investment</u>.
If weston mines has a cost of equity of 20.8 percent, a pretax cost of debt of 9.4 percent, and a wacc of 17.1 percent. ignore taxes. the equity-asset ratio is:0.48.
<h3>How to find the equity -asset ratio?</h3>
Given data:
Cost of equity = 20.8%
Pretax cost of debt = 9.4%
Wacc =17.1%
Hence,
Equity -asset ratio:
0.208=0.171 + [(0.171 - 0.094) ×E/A]
0.208 -0.171 = [(0.171 - 0.094) ×E/A]
0.037= 0.077 ×E/A
E/A = 0.037/0.077
E/A =0.48
Therefore the equity- asset ratio is 0.48.
Learn more about equity-asset ratio here:brainly.com/question/28138260
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How has globalization made countries more interdependent? Check all that apply.
Countries now rely on one another for vital resources.
Countries now rely on each other for new industries.
Countries now rely on one another for chances to import.
Countries now rely on one another for an employment base.
Countries rely on each other for cheaper products.
Countries now rely on one another for chances to export.
so its 1,2,3,5,6
