Answer:
$35,000
Explanation:
As the Allowance of Doubtful Accounts account already has the balance of $12,000, and we need $35,000 at the end of the year. We know that Allowance of Doubtful Accounts account account has credit nature so it needed $23,000 ($35,000 - $12,000) to be adjusted at the end of the year to make the adjusted balance equals to $35,000. So, the adjusted account balance will be $35,000.
Answer:
Current Assets = $85,000
Explanation:
Anson Corporation
Balance Sheet (Partial)
As at December 31, 2018
Assets
Current Assets:
Accounts receivable $12,000
Inventories 40,000
Treasury Bill 30,000
<u>Prepaid insurance 3,000</u>
Total current assets $85,000
Prepaid insurance $6,000/2 = $3,000 is for current years. Therefore, $3,000 is a current assets. Since treasury bill is an investment and for 3 months, it is a current assets.
Answer:
c. variable selling and administrative expenses
Explanation:
On the variable costing income statement, the figure representing the difference between manufacturing margin and contribution margin is the <u>variable selling and administrative expenses.</u> Variable cost is comprised of cost of goods sold and selling and administrative expense when we deduct cost of goods sold from sales we get manufacturing margin and when we deduct further selling and administrative expense we get contribution margin.
Answer: The journal entry is as follows:
Explanation:
Given that,
Barton and Barton company's inventories were $32.6 million at December 31st, 2017
But the records of B and B's company indicated that inventories would have totaled $24.1 million December 31st, 2017
Therefore, the journal entry for the adjustment in the records of B and B's company in 2018 is as follows:
<u>Debit</u> <u>Credit</u>
Retained Earnings A\c $8.5 million
To Inventory $8.5 million
Retained Earnings = $32.6 million - $24.1 million
= $8.5 million
