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maksim [4K]
3 years ago
15

The Dubious Company operates in an industry where all sales are made on account. The company has experienced bad debt losses of

1.60% of credit sales in prior periods. Presented below is the company's forecast of sales and expenses over the next three years. Year 1 Year 2 Year 3 Sales Revenue $ 384,000 $ 390,000 $ 389,000 Bad Debt Expense Unknown Unknown Unknown Other Expenses 331,000 332,000 335,750 Net Income Unknown Unknown Unknown Required: Calculate Bad Debt Expense and net income for each of the three years, assuming uncollectible accounts are estimated as 1.60% of sales. Assume that the company changes its estimate of uncollectible credit sales to 1.60% in Year 1, 2.60% in Year 2 and 2.10% in Year 3. Calculate the Bad Debt Expense and net income for each of the three years under this alternative scenario.
Business
1 answer:
DochEvi [55]3 years ago
5 0

Answer:

omg that the long one

Explanation:

sorry dont know the anwer

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This is further explained below.

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2 years ago
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3 years ago
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