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Harrizon [31]
3 years ago
6

Historical Art is a new business. During its first year of operations, credit sales were $50,000 and collections from credit sal

es were $34,000. One account for $500 was written off. Management uses the percent-of-sales method to account for bad debts expense and estimates 3% of credit sales to be uncollectible. the ending balance of allowance for bad debts account is?
A. 1,000
B. 2,505
C. 1,500
D. 465
Business
1 answer:
Harrizon [31]3 years ago
8 0

Answer:

C. 1,500

Explanation:

Credit Sales x 3%

$50,000 x 0.03 = $1,500

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The correct answer is letter "B": lowers unit costs.

Explanation:

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In the résumé above, what would cause appearance of the "00000000000"?
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7 0
4 years ago
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morpeh [17]

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3 0
3 years ago
Freeman​ Motors, a motorcycle​ manufacturer, had the following contingencies. Determine the appropriate accounting treatment for
mrs_skeptik [129]

Answer:

a. Freeman estimates that it is reasonably possible but not likely that it will lose a current lawsuit.​ Freeman's attorneys estimate the potential loss will be​ $4,500,000.

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Since the event is possible but not likely, it should be disclosed in the footnotes of the financial statements.

b. Freeman received notice that it was being sued. Freeman considers this lawsuit to be frivolous.

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6 0
4 years ago
A candy company has 115 pounds of cashews and 140 pounds of peanuts which they combine into two different mixes. The deluxe mix
LekaFEV [45]

Answer:

you should prepare 180 pounds of the deluxe mix and 75 pounds of the economy mix

Explanation:

maximize 7d + 4.7e

constraints

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d and e are integers

using solver, the maximum profit is 180d + 75e, and the maximum profit is $1,612.50

6 0
3 years ago
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