What is aging of accounts receivable, and how is it used to account for uncollectible accounts?
What will be an ideal response?
Aging of accounts receivable is the process of assigning a percentage of likelihood that receivables will be uncollectible based on their ages. The resulting estimate is used to establish the ending balance in Allowance for Doubtful Accounts using the percent of receivables method.
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Gift giving involves economic and symbolic exchange
Indicate whether the statement is true or false
Suppose you are an investor facing a choice between three investments that are identical in every way except in terms of their rates of return and taxability. Which investment provides the highest after-tax return? Investment A:interest rate 10 percent, tax rate 40 percent of interest income.Investment B:interest rate 8 percent, tax rate 25 percent of interest income.Investment C:interest rate 6.5 percent, tax rate 0 percent. Investment D:interest rate 5 percent, tax rate 1 percent.
A. Investment A B. Investment B C. Investment C D. Investment D
Audit data standards (ADS) are standards for data files and fields typically needed to support an external audit in a given financial business process area.
Answer the following statement true (T) or false (F)
JAX Inc In early 2012, JAX Inc had budgeted for the production and sales of 5,000 units at a sales price of $15 per unit. The following information is available regarding the standard cost for each unit: Direct materials: 1.50 pounds at $2.50 per lb Direct labor: 30 minutes of assembly at $.20 per minute Actual results for 2012 were determined to be as follows: Number of units produced and sold:
5,600 units Sales revenue: $100,800 ($18 per unit) Direct materials cost: $ 22,848 (9,520 lbs purchased and used at $2.40 per lb) Direct labor cost: $ 38,192 (173,600 minutes at $.22 per minute) Refer to the JAX Inc information above. What was JAX Inc's sales price variance for 2012? A) $15,000 F B) $15,000 U C) $16,800 F D) $16,800 U