Answer:
The journal entries are given;
Explanation:
a. Bad Debt Expense Dr.$17,300
Allowance for Doubtful Accounts Cr.$17,300
b. Allowance for Doubtful Accounts Dr.$7,100
Accounts Receivable Cr.$7,100
With Bad Debt Expense ,the retained earnings will be decreased by ($17,300)
with direct written off,the accounts receivables will be reduced by ($7,100) in balance sheet.
Answer:
$12,000
Explanation:
The reason is that the 10% of the amount $120,000 is $12,000 which is the rate of return which the Montana Furniture Mart has earned due to the sales of the furniture, so the amount that must be debited as interest income at the end of year would be:
Dr Interest Income $12000
Cr Cash or Bank Accout $12,000
Answer:
$347,697
Explanation:
The interest revenue which shall be recorded by the Savor Corporation for the year ended 2018 in respect of equipment leased to Spree Company shall be calculated using the following mentioned formula:
Interest revenue=(Present value of lease equipment as at January 1, 2018-payment made on January 1, 2018)*interest rate
In the given question:
Present value of lease equipment as at January 1, 2018= $4,561,300
Payment made on January 1, 2018=$698,000
Interest rate=9%
Interest revenue=($4,561,300-$698,000)*9%=$347,697
Answer:
The correct answer is letter "D": greater protection for whistleblowers.
Explanation:
The Organisation for Economic Co-operation and Development (OECD) is an intergovernmental organization that aims to promote economic progress and worldwide trade. The OECD established the Principles of Corporate Governance to improve the<em> legal, regulatory, </em>and <em>institutional framework</em>.
The OECD Principles include <em>ensuring effective corporate governance, equal treatment to shareholders, and disclosure and transparency</em>. <em>Because of the recent U.S. whistleblower situation and in an attempt to maintain investors' confidence the OECD enhanced the transparency principle granting more protection to whistleblowers.</em>