If the sales revenue is $150,000 and the margin of safety is $30,000, then the break-even

Chen Company's account balances at December 31, 2017 for Accounts Receivable and the Allowance for Doubtful Accounts are $800,00

Hatshy [7]

Answer:

B) $27,500.

Explanation:

The computation of the amount credited to the allowance account is shown below:

= Sales during the 2017 year × estimated uncollectible percentage

= $2,750,000 × 1%

= $27,500

By multiplying the sales with the estimated uncollectible percentage we can get the amount credited to the allowance account and the same is to be considered

Hence, the correct option is B

6 0

3 years ago

On December 31, 2021, Interlink Communications issued 6% stated rate bonds with a face amount of $100 million. The bonds mature

Sauron [17]

Answer:

The bonds were issued at $87,590,959

Explanation:

The bonds will be issued at the present value of the coupon and maturity discounted by the market rate

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 6,000,000.000 ( 100 million x 6%)

time 30 (2051 - 2021)

market rate 7% = 7/100 = 0.07

$6000000 \times \frac{1-(1+0.07)^{-30} }{0.07} = PV\\$

PV $74,454,247.1010

PV of the maturity

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 100,000,000.00

time 30.00

rate 0.07

$\frac{100000000}{(1 + 0.07)^{30} } = PV$

PV 13,136,711.72

Total current value of the bonds:

PV coupon $ 74,454,247.1010

PV maturity $<u> 13,136, 711.7155 </u>

Total $87,590,958.8165

8 0

3 years ago

Jose wanted to make a graph to show his budget for the month. what type of graph would be the most appropriate to graph for jose

Andru [333]

D. Circle (Pie) graph

3 0

3 years ago

Read 2 more answers

The Bank of america trends in Consumer Mobility Report indicates that in a typical day, 51% of users of mobile phones use their

Vaselesa [24]

<u>Solution and Explanation:</u>

a) 51% of users of mobile phones use their phone at least once per hour,

It is a binomial distribution with n = 150, p = 0.51

mean = np = 150 multiply with 0.51 = 76.5

SD= sqrt(np(1-p) )= 6.1225

Since np and n(1-p) > 5, we can assume the distribution is normal.

B) please see the attached file.

c) It is a binomial distribution with n = 150, p = 0.02

mean = np = 150*0.02 = 3

SD= sqrt(np(1-p) )= 1.71464

Since np < 5, we cannot assume the distribution is normal.

6 0

3 years ago

You’ve recently learned that the company where you work is being sold for $300,000. The company’s income statement indicates cur

chubhunter [2.5K]

Answer:

5%

Explanation:

Data provided in the question:

Present value of the company, PV = $300,000

Current Profits, π₀ = $11,000

Interest rate, i = 9% = 0.09

Now,

we know,

$PV = \pi_0(\frac{1+i}{1-g})$

here,

g is the growth rate

on rearranging, we get

g = $i - \frac{(1+i)\pi_0}{PV}$

on substituting the respective values, we get

g = $0.09 - \frac{(1+0.09)\times11,000}{300,000}$

or

g = 0.05

or

g = 0.05 × 100%

= 5%

7 0

3 years ago