Economic systems differ according to which two main characteristics?

On June 1, 2018, Perfect Performance Cell Phones sold $ 17,000 of merchandise to Ashton Trucking Company on account. Ashton fe

inn [45]

Answer:

See answers and explanation below.

Explanation:

1. Journalize the transactions for High Performance Cell Phones using the direct write-off method. Ignore Cost of Goods Sold.

Date Details Dr ($) Cr ($)

1 Jun. 18 Account receivable 17,000

Sales revenue 17,000

To record sales to Ashton Trucking Company on account.

15 Jul. 18 Cash 6,000

Account receivable 6,000

To record cash received from Ashton Trucking Company.

5 Sep. 18 Bad debt 11,000

Account receivable 11,000

To record accounts receivable from Ashton written off.

5 Mar. 19 Account receivable 11,000

Bad debt 11,000

To record transfer of bad bad back toaccounts receivable.

5 Mar. 19 Cash 11,000

Account receivable 11,000

To record cash received from Ashton Trucking Company.

2. What are some limitations that High Performance will encounter when using the direct write-off method?

a. It is not in line with the matching principle. This is because bad debt expenses will not be reported in the same period they are incurred and might not be realized as bad expenses until the following period.

b. It can cause inaccurate balance sheet as it does give the actual amount of accounts receivable of a company.

c. It method of recording violates GAAP and financial statements does to present the actual financial performance of the business.

d. It overstates accounts receivable as the full amount of amount owed to the company from credit sales will be reported as accounts receivable.

6 0

3 years ago

A bear market is distinguished by ________.

kiruha [24]

A bear market is distinguished by a declining stock market and decreasing investor confidence. A bear market is when security prices fall and the stock market starts to take a downward turn. The market tries to become self-sustaining so investors start to sell off their stocks and securities.

8 0

3 years ago

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You are talking with the president of your company about a possible merger. After she finishes speaking, you respond, "If I unde

topjm [15]

Answer:

The correct answer is -Descriptive.

Explanation:

The descriptive comment, as the name implies, makes a description of some element. You can focus on a person, an animal, a landscape, an object or a situation, to name a few possibilities.

Feature enumeration is the main feature of descriptive comment. While a narrative comment relates events and an argumentative text provides reasons, a descriptive comment focuses on the mention of particularities for the construction of a representation of the element in question.

6 0

3 years ago

Laws designed to promote competition and prevent the information of monopolies are known as _____ laws

Soloha48 [4]

The answer is B. antitrust laws.

Antitrust laws are designed to keep competition fair between corporations to protect consumers. These laws promote such competition and discourage monopolies from operating as such.

6 0

3 years ago

Read 2 more answers

When deciding whether a business concept is

Ivanshal [37]

Answer:

no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no no

4 0

3 years ago