Answer:
Explanation:
The journal entry is shown below:
Allowance for Doubtful Accounts A/c Dr $10,200
To Account receivable A/c - Oakley Co $2,600
To Account receivable A/c - Brookes Co $7,600
(Being the written off amount is recorded)
Simply we debited the allowance for the doubtful account and credited the account receivable account
borrows money by issuing bonds
bonds are sometimes backed by things like tolls and feed for things like bridges & tunnels
raises taxes
raises fees for things tariffs and passports etc
Answer: The correct answer is "financial intermediary".
Explanation: In this case, Monfax is an example of a <u>financial intermediary.</u>
A financial intermediary is one that helps finance transactions or also the one that insures those interested against any risk associated with the purchase and sale of goods. Some examples are: banks, insurance companies, credit companies, etc.
Answer:
Residual income=$374,088
Explanation:
Calculation for Cabell Products division's residual income
Formula for Residual income is:
Residual income = Net operating income - ( Average operating assets * Minimum required rate of return )
Residual income= $686,400-($2,402,400*13%)
Residual Income=$686,400-$312,312
Residual income=$374,088
Therefore the division's residual income is closest to:$374,088
Answer:
.B) shutdown, because it cannot even cover all of its variable costs let alone its fixed costs if it stays in business.
Explanation:
In a competitive market, the firm maximize it's profit when the market price of the firm is equal to average variable cost of the firm so that the firm earns normal profits in the long run.
Therefore, if price is less than the average variable cost then the firm should shutdown because it cannot even cover all of its variable costs let alone its fixed costs if it stays in business.