Answer:
a. Does this situation describe a loss contingency? Explain.
Allowance for doubtful accounts are a loss contingency since they mar or may not happen, but the company has to account for them.
b. What is the bad debt expense that Manda Panda should report in its 2018 income statement?
total bad debt expense = total sales x 3% = $3,150,000 x 3% = $94,500
c. Prepare the appropriate journal entry to record the contingency.
Dr Bad debt expense 94,500
Cr Allowance for doubtful accounts 94,500
d. What is the net realizable value (book value) Manda Panda should report in its 2018 balance sheet?
ending balance of accounts receivable = $537,500 - $94,500 = $443,000
Mortgage points, also known as discount points, are fees paid directly to the lender at closing in exchange for a reduced interest rate. This is also called “buying down the rate,” which can lower your monthly mortgage payments.One point costs 1 percent of your mortgage amount (or $1,000 for every $100,000),<span>In general, the longer you plan to own the home, the more points help you save on interest over the life of the loan. When you consider whether points are right for you, it helps to run the numbers.</span>
Answer:
Results are below.
Explanation:
<u>First, we need to allocate overhead:</u>
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 1.15*10,700= $12,305
<u>Now, we can determine the total manufacturing cost:</u>
Total manufacturing cost= 15,745 + 10,700 + 12,305
Total manufacturing cost= $38,750
<u>Finally, the unitary cost:</u>
Unitary cost= 38,750 / 1,550
Unitary cost= $25
They are called market-centered companies.
Answer:
is expected future data and differs amongst the alternatives.
Explanation:
Relevant information is expected future data and differs amongst the alternatives.
