Abbott Company uses the estimate of sales method of accounting for uncollectible accounts. Abbott estimates that 3% of all credit sales will be uncollectible. On January 1, 2009, the Allowance for Doubtful Accounts had a credit balance of $2,400. During 2009, Abbott wrote-off accounts receivable totaling $1,800 and made credit sales of $100,000. After the adjusting entry, the December 31, 2009,
balance in the Uncollectible Accounts Expense would be
A) $1,200
B) $3,000
C) $3,600
D) $7,200
C
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Answer the following statements true (T) or false (F)
1) The last-in, first-out (LIFO) costing system may or may not match the physical flow of goods. 2) The last-in, first-out (LIFO) costing system is permitted under International Financial Reporting Standards (IFRS). 3) Under International Financial Reporting Standards (IFRS), companies may only use the specific identification, FIFO, and weighted-average methods to cost inventory. 4) When a company uses the last-in, first-out (LIFO) method, the cost of goods sold represents the costs of most recently purchased goods, and the ending inventory represents the oldest costs. 5) When using the weighted-average inventory costing method in a perpetual inventory system, a new weighted average cost per unit is computed at the end of each quarter.
Martha visits a departmental store and learns that a box of exotic candles would cost her ten percent more than what she had paid for it six months ago. In this scenario, Martha has to pay more as a result of__________
Fill in the blanks with correct word.
A just-in-time strategy ______.
A. reduces investment in inventory and reduces space requirements B. increases investment in inventory but reduces space requirements C. increases investment in inventory and increases space requirements D. reduces investment in inventory but increases space requirements
If a contract is made with a person required by law to hold a license, and the purpose of the license is protection of the public, the contract made by an unlicensed person will generally be unenforceable
a. True b. False Indicate whether the statement is true or false