Craigmont uses the allowance method to account for uncollectible accounts. Its year-end unadjusted trial balance shows Accounts Receivable of $138,500, allowance for doubtful accounts of $1005 (credit) and sales of $1,095,000. If uncollectible accounts are estimated to be 0.7% of sales, what is the amount of the bad debts expense adjusting entry?
A. $7665
B. $6660
C. $7865
D. $8670
E. $7790
Answer: A
Business
You might also like to view...
Sites in which users contribute most of the content are referred to as what?
A) User-generated content sites B) Content curation sites C) Community Q&A sites D) Blogs E) Hubs
Business
Spam is a self-replicating program that runs and spreads by modifying other programs or files.
Answer the following statement true (T) or false (F)
Business
An incremental innovation ______.
A. increases the scope of an existing innovation B. increases its impact over the life of the product C. is an improvement to an existing product D. all of these
Business
How does total variable cost respond when volume increases?
What will be an ideal response?
Business