Use this information to answer the following question. The general ledger account for Accounts Receivable shows a debit balance of $50,000. Allowance for Uncollectible Accounts has a debit balance of $1,000. Net sales for the year were $500,000. In the past, 2 percent of sales have proved uncollectible, and an aging of accounts receivable accounts results in an estimate of $13,500 of
uncollectible accounts. Using the accounts receivable aging method, the Allowance for Uncollectible Accounts balance (after adjustment) would be
A) $14,500.
B) $14,000.
C) $13,500.
D) $12,500.
C
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Farrell and Jimmy enter into a partnership agreement on May 1, 2018. Farrell contributes $50,000 and Jimmy contributes $150,000 as their capital contributions. They decide to share profits and losses in the ratio of their respective capital account balances. The net loss for the year ended December 31, 2018 is $40,000. The capital account of Farrell should be ________ with his share of the loss.
A) debited B) credited C) increased D) halved
Calculate the payback period for Investment B. (Round your answer to two decimal places.)
Arrendo, Inc. is evaluating two possible investments in depreciable plant assets. The company uses the straight-line method of depreciation. The following information is available:
A) 3.46 years
B) 1.94 years
C) 2.89 years
D) 3.82 years
Which of the following statements is true about Generation Y?
a. Its members were born between 1965 and 1978. b. Its members are tech savvy but still use traditional media. c. Its members have the least spending power than any other cohort. d. Its members are the first generation of latchkey kids.
Talking headings are preferred in business reports because they tell about the content of the sections and reveal any conclusion(s) presented in the sections
Indicate whether the statement is true or false