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luda_lava [24]
2 years ago
15

Wellington Corp. has outstanding accounts receivable at year end totaling $6,500,000 and had sales on credit during the year of

$22,000,000. There is also a positive balance of $12,000 in the allowance for doubtful accounts. If the company estimates that 8% of its outstanding receivables will be uncollectible, and the company uses the percent of receivables method, what will be the amount of bad debt expense recognized for the year
Business
1 answer:
LuckyWell [14K]2 years ago
8 0

Answer: $520,000

Explanation:

A bad debt expense occurs when an economic entity which could be an individual or firm cannot collect a receivable because the said customer can't meet their obligations anymore.

The amount of bad debt expense recognized for the year will be the outstanding accounts receivable at year end multiplied by the percentage of uncollectible outstanding receivables. This will be:

= 8% × $6,500,000

= 8/100 × $6,500,000

= 0.08 × $6,500,000

= $520,000

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Explanation:

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WeightA = 122($32) / $6,148 = .6350

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7 0
3 years ago
The major issues in the __________ stage of team development concern how the tasks and responsibilities will be divided among me
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Answer:

3rd stage or Norming stage of group development.

Explanation:

3rd stage or Norming stage of group development.

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4 years ago
Joan grows pumpkins. If Joan plants no seeds on her farm, she gets no harvest. If she plants 1 bag of seeds, she gets 500 pumpki
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Answer: Option (B) is correct.

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Correct option: Decreasing marginal product.

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So, Marginal Product = \frac{change\ in\ Q}{Change\ in\ I}

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Marginal product of 1st bag = 500

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Hence, Joan's production function exhibits decreasing marginal product.

3 0
4 years ago
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Answer: $1000

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