Answer:
The existing balance in Allowance for Doubtful Accounts is considered in computing bad debt expense in the percentage of receivables basis.
Explanation:
Percentage of receivables basis is preferred over direct write-off of bad debt expenses and is used in the calculation of bad debts, this is done by multiplying the accounts receivable by percentage of expected noncollectable debts and then subtracting accounts for bad debts are then subtracted from accounts receivable on the balance sheet and the result reported as net accounts receivable. It is used in calculating the bad debt expense in each account reporting period.
Answer:
Cost incurred while running a restaurant:
Salary paid = $200,000 per year
Ingredients cost = $50,000 per year
Before running this restaurant, he was earning $150000 per year.
Here, we are using a concept called opportunity cost.
Opportunity cost refers to the benefit of a commodity that is forgone to produce one extra unit of some other commodity.
It is also refers to the value of next best alternative that is given up by choosing some other alternative.
In this question, opportunity cost of running a restaurant is the income that is earned when he was a lawyer, i.e, $1,50,000 per year. This is the income that is foregone when he started running a restaurant.
Answer:
b) 100 cars per day.
Explanation:
With the information above, we can conclude that each worker washes 20 cars per day, and earns a wage of $60 per day.
So the total labor costs per day is $60 wage per worker X 4 workers = $240
The total sales revenue per day is: 80 cars washed per day X $5 per wash = $400.
So, we can see that with four workers, the firm has a good profit of = $400 - $240 = $160.
If the firm hired a fifth worker, labor costs would increase to $320 ($240 + $60), the amount of cars washed would increase to 100, and the sales revenue would increase to $500 (100 x $5).
So, profits would increase to $180 ($500 - $320) if the firm hired a fifth worker.
However, productivity should still be stable, so a worker who washed less than 20 cars per day should not be hired, this is why the A option is wrong.
The correct answer is Option D.
The longer the time period under consideration, the more elastic the supply of a good will be.
<h3>What is supply of goods ?</h3>
- The following are included in a supply of goods: the agreement-based transfer of property rights over things. the commission-based sale of tangible things because of an auctioneer or dealer acting under his and her own name but following another person's instructions. delivery of items under a hire-purchase agreement.
- In general, supply refers to the complete amount of goods and services that such a producer is ready to provide at a specific price and location.
- Even as a profession, selling products or services counts as a supply under the GST. Therefore, the sale would represent supply even if a well-known politician created paintings for charities and sold them, even once.
To learn more about supply of goods refer to :
brainly.com/question/4804206
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Solution :
Base year : 2019
Expenditure on crackers : $44
Expenditure on bandages : $12
Price of a firecracker : $1
Price of bandages : $3 per pack
Number of crackers bought = 
= 44
Number of bandages bought = 
= 4
Total expenditure in 2019 = $44 + $12
= $56
Year 2020
Price of a firecracker = $6
Price of a bandage = $3
Expenditure on the crackers = $ 6 x 44
= $ 264
Expenditure on the bandages = $ 3 x 4
= $ 12
Total expenditure in 2020 = $ 264 + $ 12
= $ 276
CPI in the year 2020 (base year 2019) = 
= 492.8
Inflation in 2020 (2019 base year = 100) = 
= 0.039
= 3.9%
So, CPI = 492.8
Inflation rate = 3.9%
