1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
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

You might be interested in
Viability of relevancy of insurance products sold to business and individual
11Alexandr11 [23.1K]
It's not enough details and I can't get what exactly you need. I guess you want to know what is v<span>iability of relevancy of insurance products. So it's very good thing that can save your business if you keep a factory that produces specific things from instant disasters.</span>
5 0
3 years ago
when the federal government's expenditures for a year are greater than its revenue for that year, the difference is known as wha
Lera25 [3.4K]

Answer:

A budget deficit

Explanation:

A budget deficit arises when the governments spend more than it has collected.  The government 's main source of revenue is taxes and levies it imposes on businesses and individuals. Its expenses include salaries for public employees, social welfare, and expenditures on public goods and infrastructure development projects.

A budget deficit contrasts a budget surplus, which occurs when a government intends to spend less than it has collected. Budget deficits result in government borrowing from either the domestic or foreign markets.  A balanced budget is when the collected revenues match the planned expenditures.

8 0
2 years ago
A trust is a legal document that explains how a person wishes his property to be transferred.
Kaylis [27]
This is TRUEEEEEEEEEEE
6 0
3 years ago
Read 2 more answers
_________was established by the Better Business Bureau to evaluate ads directed at children based on guidelines that encourage s
Phantasy [73]

Answer: The Children's Advertising Review Unit.

Explanation:

The Children’s Advertising Review Unit or CARU was established in 1974 as an independent self-regulatory agency. Its function is to regulate publicity in the media so can be suitable for children under 12 years of age.

CARU regulate television, radio, print media, and virtual media, so the advertising directed at children under the age of twelve is not misleading, immoral, and is consistent with the child's cognitive ability.

<em>I hope this information can help you.</em>

4 0
3 years ago
Freeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeee points
muminat

Answer:

thx lol

Explanation:

5 0
2 years ago
Read 2 more answers
Other questions:
  • For the Mixing Department, unit materials cost is $8 and unit conversion cost is $12. If materials are added at the beginning of
    13·1 answer
  • If butter and margarine are substitute goods, an increase in the price of butter is most likely to cause:
    15·1 answer
  • How is a significant amount of consignment inventory reported in the balance sheet? a)The inventory is reported separately on th
    12·1 answer
  • What is the term applied to the amount that net sales exceeds cost of goods sold on an income statement?
    8·1 answer
  • Which is a requirement for an acceptance?
    8·1 answer
  • Icarus Aviation, Athena Instrumentation, and Hercules Miniaturization are strategic business units of Olympia Industries. One ca
    7·1 answer
  • Cavan Company prepared the following reconciliation between book income and taxable income for the current year ended December 3
    7·1 answer
  • Dana believes that a new phone to be sold by Ear Fruit Inc. will become the most popular phone in the global market. Dana enters
    10·1 answer
  • Most economists believe the principle of monetary neutrality is a. relevant to both the short and long run. b. mostly relevant t
    6·1 answer
  • Inflation is undesirable because it: Multiple Choice always makes the nation poorer. redistributes income from those who can rai
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!