Answer:
Net income will remain same.
Explanation:
Net income is no change in net income because the sales is increase as the price of decreased. Net impact is zero.
For Example:
Price = 100
Variable cost = 50
Flights = 100
Net income = (100-50) x 100 = $5,000
Revised Calculation
Price = 100 x 90% = $90
Variable cost = 50
Flights = 100 x 125% = 125
Net income = (90-50) x 125 = $5,000
There is no change in the net income.
Answer:
Public referendum
Explanation:
Public referendum
Raising debt limit is not one side decision it always been bilateral decision between public and government. it is done to raise the treasury of government. it is yearly program which may be initiate on the basis of condition of municipality funds. therefore it need referendum from public side to decide whether to increase the debt limit or not
Answer:
$5,220
Explanation:
The computation of the bad debt expense for the period end adjustment is shown below:
= Allowance of bad debts + credit balance of Allowance for Doubtful Accounts
where,
Allowance of bad debts = 2% × $249,000 = $4,980
And, the credit balance of Allowance for Doubtful Accounts is $240
Now put these values to the above formula
So, the value would equal to
= $4,980 + $240
= $5,220
The journal entry is shown below:
Bad debt expense A/c Dr $5,220
To Allowance for Doubtful Accounts $5,220
(Being bad debt is recorded)
