Since the company is using the percentage of receivable
method in computing the allowance for doubtful account, the amount that will be
computed will be the ending balance of the allowance for doubtful account and
not the doubtful account expense itself. To compute for the allowance for
doubtful account using this method, you need to multiply the ending balance of
the accounts receivable with the given percentage. Therefore, the ending
allowance for doubtful accounts would be $15,000 ($150,000 x 10%).
To compute the amount of adjustment to the allowance for
doubtful accounts, we can come up with an equation:
Beginning balance ($16,000) + X (adjustment) – allowance written
off ($29,000) = Ending balance ($15,000)
Computing the equation, you can get the amount of $28,000
which is the adjustment of allowance for doubtful accounts or simply said, this
is the doubtful accounts expense for the year.
Answer:
Zumba classes sell all 20 participant spots at a price of $4.50 each. When the instructor raised the prices to $5.50, 10 people attended the class. From the midpoint method, the price elasticity of demand for Zumba is:
0.286
Explanation:
20 at $4.50= $90
10 at $5.50= $55
price elasticity= change in quantity demand/ change in price
20-10= 10 change in quantity demand
$90-$55= $35
10/35=0.286
The entity who should be thought of as a firm's banker and source of information should be the <u>Banker</u>.
<h3>Roles of a banker in a company</h3>
They advise the company on financial and capital needs to ensure that the company gets the funding it needs to be successful.
They also serve as a source of information for various aspects of the financial world and can assist in preparing financial statements. They are therefore partners to the business.
Find out more on the role of bankers at brainly.com/question/14274562.
Friction is a force that slows or stops motion. Friction is the resistance to motion created by two objects rubbing against each other (the sled and the snow, for instance). Even air causes friction. Friction forces is your answer.
