A company had the following items and amounts in its unadjusted trial balance as of December 31 of the current year:?Debit CreditCash sales…………………………………..?$188,000Credit sales…………………………………?275,000Accounts receivable………………………..$76,000?Allowance for doubtful accounts…………..?1,000Prepare the adjusting entry to estimate bad debts assuming bad debts are estimated to be 2.5% of credit sales.
What will be an ideal response?
| 1. |
| Allowance for Doubtful Accounts | 6,875 |
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Process materials are used directly in the production of products.
Answer the following statement true (T) or false (F)
Randy's Pizza delivers pizzas to dormitories and apartments near a major state university. The company's annual fixed costs are $48,000. The sales price averages $9, and it costs the firm $3 to make and deliver each pizza.Required: A. How many pizzas must Randy's sell to break even?B. How many pizzas must the company sell to earn a target profit of $54,000?C. If budgeted sales total 9,900 pizzas, how much is the company's safety margin in dollars?D. Tony's assistant manager, an accounting major, has suggested that the firm should try to increase the contribution margin per pizza. Explain the meaning of "contribution margin" in layman's terms.
What will be an ideal response?
An individual's after-tax income is called his or her discretionary income, which is used for spending and/or saving.
Answer the following statement true (T) or false (F)
Project milestones are any measurable, tangible, verifiable outcome, result, or item that is produced to complete a project or part of a project.
Answer the following statement true (T) or false (F)