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rodikova [14]
3 years ago
9

Beautiful Lawns Company estimates its doubtful accounts by aging its accounts receivable and applying percentages to various age

d categories of accounts. The Beautiful Lawns Company computes a total of $3,600 in estimated doubtful accounts as of December 31, 2016. Its Accounts Receivable account has a balance of $112,800 and its Allowance for Doubtful Accounts has a credit balance of $600 before adjustment at December 31, 2016. How much bad debts expense will Beautiful Lawns report in 2016
Business
1 answer:
mr_godi [17]3 years ago
8 0

Answer:

$3,000

Explanation:

Calculation to determine How much bad debts expense will Beautiful Lawns report in 2016

Using this formula

Bad debts expense=Estimated doubtful accounts -Allowance for Doubtful Accounts credit balance

Let plug in the formula

Bad debts expense=$3,600-$600

Bad debts expense=$3,000

Therefore The amount of bad debts expense that Beautiful Lawns will report in 2016 is $3,000

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Elina [12.6K]

Answer:

a-1. We have:

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a-2. We have:

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b-1. We have:

Recession EPS = $1.12

Normal EPS = $1.76

Expansion EPS = $2.08

b-2. We have:

Recession percentage change in EPS = -36.36%

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Explanation:

Note: See the attached excel file for the calculations of the EPS and the percentage changes in EPS.

From the attached excel file, we have:

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Expansion EPS = $2.08

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Answer:

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2. Brand and reputation operation. When customers receives a world class experience, reputation is being created here. I would then sustain this reputation by making it a brand upon which the hotel will be identified with subsequently.

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