Ill GIVE BRAINLIEST

Oriole Company uses the percentage-of-receivables method for recording bad debt expense. The Accounts Receivable balance is $380

ohaa [14]

Answer:

Adjusting journal entry:

Dr Bad debt expense 19,000

Cr Allowance for doubtful accounts 19,000

Explanation:

accounts receivable balance = $380,000

total credit sales = $1,520,000

6% of accounts receivable will be bad debt = $380,000 x 6% = $22,800

credit balance allowance for doubtful accounts account = $3,800, and it must increase to $22,800 ⇒ $22,800 - $3,800 = $19,000

Adjusting journal entry:

Dr Bad debt expense 19,000

Cr Allowance for doubtful accounts 19,000

Allowance for doubtful accounts is a contra asset account with a credit balance that reduces the value of accounts receivable.

4 0

4 years ago

Rudyard Corporation had 160,000 shares of common stock and 16,000 shares of 8%, $100 par convertible preferred stock outstanding

snow_lady [41]

Answer:

Diluted EPS = $3.0625

Explanation:

Earning per share (EPS) = earnings available to ordinary shareholders/ number of ordinary shares possible after conversion

Conversion of preferred stock into common stock

= 16,000 × 5 = 80,000

Number of ordinary shares = common stock + converted preferred stock

= 160000+ 80000 =240,000 units

$

Net Income 520,000

Preferred dividend (8%×100×16000) (128000)

Earnings available to shareholders 392000

Number of shares 240,000

Diluted Earnings per share

392,000/240,000= $3.0625

Diluted EPS = $3.0625

5 0

3 years ago

A company has budgeted fixed overhead of $1.00 per hour at expected capacity of 5,000 units which have a standard quantity of 2

Zepler [3.9K]

Answer:

$400 favorable

Explanation:

The computation of the volume variance is shown below:

Fixed overhead Volume Variance = Actual Overheads - Budgeted Overheads

where,

Actual overhead is

= 5,200 units × 2 hours × $1

= $10,400

And, the budgeted overhead is

= 5,000 units × 2 hours × $1

= $10,000

So, the volume variance is

= $10,400 - $10,000

= $400 favorable

We simply deduct the budgeted cost from the actual cost so that the difference could be come

5 0

3 years ago

Smith Company has 800,000 shares authorized and 250,000 shares issued and outstanding of its $2 par value common stock. The stoc

GrogVix [38]

Answer:

retained earnings 40,000 debit

common stock 8,000 credit

additional paid-in Common Stock 32,000 credit

Explanation:

shares issued:

800,000 shares x 5% = 4,000 new shares

face value of the shares

4,000 x $2 = 8,000

market value 4,000 x $10 = 40,000

additional paid-in 40,000 - 8,000 = 32,000

we decrease retained earnings and increase the euqity account to balance.

3 0

3 years ago

Read 2 more answers

Suppose a perfectly competitive firm produces 40 units of output per-period (e.g., daily) and sells all units for the market pri

Komok [63]

The correct answer for the question that is being presented above is this one: "F. i and iii" Then the firm is maximizing total profit by producing and selling 40 units of output and earns a per-period total profit of $240 

Here are the choices:
A. i
B. ii
C. iii
D. iv
E. i and ii
F. i and iii

5 0

3 years ago