Amount of bad debts adjusting entry = 0.7% * 945,000 = 0.7/100 * 9450,000 = $6,615
The amount of the bad debts expense adjusting entry = $6,615
The correct answer is 5.
Managers and analysts may better understand the competitive environment a company operates in and how it is positioned within it by using Porter's Five Forces Model.
<h3>What are the five competitive forces identified by Porter?</h3>
Porter identifies five factors as the main sources of competitive pressure within an industry. They are as follows:
a) rivalry in a healthy way.
b) supplier strength.
c) consumer power
d) threat of replacement
e) a potential new entry.
<h3>What is the operation of Porter's competitive force model?</h3>
These factors affect a company's profitability by affecting the quantity and strength of its rivals in the market, possible new market entrants, suppliers, consumers, and replacement goods. Business strategy may be guided by a Five Forces analysis to boost competitive advantage.
To know more about Business strategy, visit: brainly.com/question/3325483
#SPJ4
Answer:
A. Debit inventory for $20 and credit expense for $20.
Explanation:
We should remember that we cannot recognize a gain before is realized. Increasing the inventory for their net realizable value would reocgnize the gain before selling the good that is not correct. The comapny will adjust to their original cost of 100 that is, reverse the 20 dollars loss of the previous year.
