The national insurance company has 200,000 shares authorized, 180,000 shares issued, and 45,000 shares of treasury stock. the number of shares outstanding is 1,38,000 shares are outstanding.
What is a Share?Shares are fractional ownership interests in a corporation. For some businesses, shares are a type of financial instrument that allows for the equitable distribution of any declared residual profits by way of dividends. A stock with no dividend payments does not distribute its income to its shareholders.
The term "share" refers to a unit of ownership that equals one percent of equity stock. A stake entitles the owner to a legitimate right to the company's profits and losses. Equity shares, as well as preference shares, are the two main types of shares.
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roberto and paige hold the same position at their company. however, roberto earns more than paige. in the context of pay structure, which statement justifies the organization's decision to pay roberto more than paige?
Roberto meets higher productivity targets than Paige justifies the organization's decision to pay Roberto more than Paige
A pay structure is a method for determining how much each person and job function should be paid depending on how valuable they are to the company and how well they perform their duties.
By setting a ceiling on the range paid for specific jobs or locations, a well-designed salary structure enables management to reward performance and skill development while keeping base salary costs under control.
Pay structures serve as the foundation of pay systems, establish the relationship between employee compensation and job value, and are an essential tool for ensuring that pay levels for jobs within an organization are both externally and internally equitable.
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brandon, an individual, began business four years ago and has sold §1231 assets with $5,850 of losses within the last five years. brandon owned each of the assets for several years. in the current year, brandon sold the following business assets: asset original cost accumulated depreciation gain/loss machinery $ 31,700 $ 8,700 $ 10,850 land 57,000 0 28,500 building 124,000 37,000 (22,000) assuming brandon's marginal ordinary income tax rate is 32 percent, what effect do the gains and losses have on brandon's tax liability? use dividends and capital gains tax rates for reference.
For a long time, Brandon was the owner of each item. Business sold sect 1231 assets four years ago, suffering losses of $5,850 during the subsequent five years.
Which of the following best describes the calculation for gain or loss realized?Take the difference in the total consideration received and deduct the cost basis to arrive at the realized gain or loss. Positive differences represent realized gains. A realized loss has been realized if the difference is negative.
What is the capital gains and dividend tax rate?The tax rate on qualified dividends is the same as the capital gains tax rate, which is less than the rate on regular income. Ordinary dividends are taxed at the same 10% to 37% rate as regular federal income.
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management's refusal to let workers enter a plant or building to work is a: question 25 options: 1) boycott 2) reverse strike 3) management strike 4) lockout 5) union-busting approach
A lockout occurs when management prevents workers from entering a plant or building to work.
Lockout's meaning could be a little more obvious.
Managers prevent workers from coming to work during a lockout until they agree to the terms of employment.The opposite of a strike is a lockout.Employees don't go to work during a strike until management agrees to make concessions for them regarding things like wages and working conditions.
How does a lockout work and what is it?
When a contract expires and there is no replacement contract, a lockout is a temporary, employer-initiated work stoppage in which employees are prohibited from returning to work.
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assume preferred stock of ford motors pays a dividend of $4 each year and trades at a price of $35. what is the cost of preferred stock capital for ford?
If the preferred stock of ford motors pays a dividend of $4 each year and trades at a price of $35 than the cost of preferred stock capital for ford is 11.4%.
A stock is a general term accustomed describe the possession certificates of any company. A share, on the opposite hand, refers to the security of a selected company. Holding a selected company's share causes you to a investor. Description: Stocks square measure of 2 types—common and most popular.
Capital stock is that the quantity of common and preference shares that a corporation is allowed to issue, in keeping with its company charter. Capital stock will solely be issued by the corporate and is that the most variety of shares which will ever be outstanding.
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employer hired driver to operate a delivery van. before allowing driver to operate the van, employer checked driver’s prior job references, required driver to undergo a physical examination by a medical doctor, and provided driver with extensive training in motor vehicle safety. medic, the doctor who examined driver, discovered that driver had a sleep disorder that caused driver to spontaneously fall asleep and that driver had on sever occasions fallen asleep while driving. driver pleaded with medic not to inform employer of the sleep disorder. medic agreed, and omitted this information from the physical examination form he sent to employer. medic also sent a letter to employer assuring employer that driver was "in all respects fit for the employment as a delivery van operator." employer then provided driver with a daily delivery route and paid him a monthly salary. while driver was making a delivery for employer, the van left the road and struck a pedestrian, who suffered severe injuries as a result. the pedestrian filed a lawsuit for damages as a result of the injuries sustained in the accident against driver, employer and medic. 1. can pedestrian prevail under the doctrine of res ipsa loquitur concerning driver's alleged negligence? 2. what arguments will pedestrian make in support of his claims of negligence, what defenses can reasonably be asserted, and who is likely to prevail in a lawsuit filed by pedestrian against: employer? discuss. medic? discuss
If it can be proven that the driver owed the pedestrian a duty of care, that duty was broken, and that the pedestrian suffered physical injury as a direct result of the driver's conduct, then the driver may be held accountable for negligence.
Why do persons get the name "pedestrian"?People that walk or use their feet as a mode of transportation are referred to as pedestrians. Early on, it was used in opposition to the term "equestrian," which is used to describe those who ride on horses. Over time, the term "pedestrian" also came to mean "boring" or "unimaginative," maybe because walking is less thrilling than riding.
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Which of the following statements about striving to reduce labor costs per pair produced at each of the company's production facilities is true?Companies producing branded footwear with an S/Q rating above 5.0 stars are unlikely to achieve labor costs per pair produced that are below the industry average in those geographic regions where they have production facilitiesAchieving labor productivity of 3,700 pairs per worker at a production facility is nearly always sufficiently high for a company's production labor costs per pair (after rejects) at the facility to be close to the industry-low (as reported on p. 6 of the most recent FIR)Achieving labor costs per pair produced at a particular production facility that are below the region's industry-average (as reported on p. 6 of FIR) requires company managers each year to seek out a combination of base pay increases, incentive payments per non- defective pair produced, total annual compensation, and expenditures for best practices training at the facility that is projected to achieve labor costs per branded pair lower than the_prior year (since worker productivity at each production facility should be trending upward over time).The most cost effective way for a company to achieve low labor costs per pair produced is to give production workers annual base pay increases in the range of 10% to 15% annually in each geographic region where it has production facilities.The simplest and most effective way for a company to achieve labor costs per pair produced that are below the industry average is to compensate production workers at levels that are below the industry average in each geographic region where it has production facilities.
The simplest and most effective way for a company to achieve labor costs per pair produced that are below the industry average is to compensate production workers at levels that are below the industry average in each geographic region where it has production facilities.
Direct labor costs are part of payroll and can be or can be assigned specifically and consistently to the manufacture of products, specific work orders, or the provision of services.
Labor cost or gross labor cost is the total cost incurred by an employer to hire an employee. Total labor costs consist of:
Labor Accounting (LA) is used to allocate labor costs to the chart of accounts in the general ledger. In LA, you can find salary information for faculty, staff, and bi-weekly staff, including hourly wages for temporary staff and students.
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if jim invested $100,000 in an annual dividend-paying stock today with a 7 percent return, what investment time period will give jim the greatest after-tax return?
The investment time period that will give Jim the greatest after-tax return is likely to be the longest possible period.
Calculate the annual dividend income that Jim will receive by multiplying the investment amount ($100,000) by the return rate (7%). This gives an annual dividend income of $7,000.
Calculate the taxes that Jim will owe on his dividend income by using the applicable tax rate. For example, if Jim is in the 25% tax bracket, then he will owe $1,750 in taxes.
Calculate the after-tax return by subtracting the taxes from the dividend income. In this example, the after-tax return would be $5,250.
Determine the investment time period that will give Jim the greatest after-tax return. The longer the investment period, the more likely it is that Jim will be able to benefit from compounding interest and thus achieve a greater after-tax return. Therefore, the investment time period that will give Jim the greatest after-tax return is likely to be the longest possible period.
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grey fox aviation company is analyzing a project that requires an initial investment of $550,000. the project’s expected cash flows are: year cash flow year 1 $375,000 year 2 –175,000 year 3 400,000 year 4 500,000 grey fox aviation company’s wacc is 7%, and the project has the same risk as the firm’s average project. calculate this project’s modified internal rate of return (mirr):
This Project Modified internal rate of rate is 19%. which is greater than 7%.
What does a high MIRR mean?Investment should be made if MIRR is greater than an anticipated return. When the MIRR is less than the anticipated return, a project should be abandoned. In addition, the project with the higher MIRR ought to be pursued if the two projects are mutually exclusive.
Given
Initial Investment = $550,000
Cash Flow = Year 1 $375.000 Year 2 -$175,000 Year 3 $400,000 Year 4 $500,000
Rate = 7%
Required to Calculate Modified internal rate of return =?
The required calculation is shown in the file attached given below.
Thus, the project should be accepted because the Modified internal rate of return (MIRR) is 19% which is greater than the required return.
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the shareholders of hope, inc., an s corporation, wish to revoke its s election effective at the end of the current year. the total number of shares issued and outstanding at the time of the election is 100,000 shares. which of the following shareholders are required to consent to have the s corporation election revoked?
The consent of Dana and one other shareholder is required to revoke the corporation's election.
An election to the S Corporation may be voluntarily revoked with the consent of the shareholders holding at least one-half of the outstanding shares at the time of revocation. Choosing an S Corporation protects the owner from liability, lawsuits, or liability for the company's debts.
Elections to be Revoked by Shareholders. The statement must be signed by the shareholders under penalty of perjury. Signatures and approvals of shareholders who jointly own 50% or more of the outstanding shares of the company, whether voting or not.
Even if you have already elected S Corp status at the federal level, you must also make that election in New York State.
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Complete a market-baket analyi for ale data of cheee and related item, for a ale volume of 500 tranaction
For a ale volume of 500 tranaction, Market basket evaluation is a information mining technique used by shops to make bigger income by better grasp consumer purchasing patterns.
It involves inspecting large statistics sets, such as buy history, to disclose product groupings, as well as products that are probable to be purchased together.
How do you gather information from market basket analysis?To operate a Market Basket Analysis and become aware of viable rules, a data mining algorithm referred to as the 'Apriori algorithm' is in many instances used, which works in two steps: Systematically pick out itemsets that manifest often in the information set with a help greater than a pre-specified threshold.
What is the components for market basket?Divide the price of your market basket by the base year's cost and multiply the answer by using a hundred You can use this to compute the index for each a base yr (divided through itself) and any subsequent yr you are calculating.
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https://brainly.com/question/15700948#SPJ4wilson company had the following cash balance items listed in its trial balance at 12/31/2024: peterson savings and loan: $ 60,000 right bank: (10,000) clinton county trust bank: 20,000 if wilson reports under ifrs, its 12/31/2024 balance sheet would show what cash balance?
The Cash Balance of company in the balance sheet would be $55,000.
What is a balance sheet?A balance sheet, whether it be for a corporation, a private limited company, a sole proprietorship, a business partnership, a government agency, or another type of entity like a not-for-profit organization, is a summary of the financial position of an entity in financial accounting. Assets make up the left side of a balance sheet for a typical business, and finance, which is made up of liabilities and ownership equity, makes up the right side. The major asset classes are typically listed first, in order of liquidity. According to the accounting formula, net worth is the total assets minus the total liabilities. The difference between the assets and the liabilities is referred to as the organization's capital, net assets, or net worth.
The Cash Balance will be :
= Peterson Savings and Loan + Trust Bank - Right Bank
= $50,000 + $10,000 - $5,000
= $55,000
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sangmoon co. sells equipment for $1,000 cash. the equipment cost sangmoon $6,500 and has accumulated depreciation of $2,000 at the time of sale. sangmoon will record the sale with a credit to which account and for how much?
The amount that Sangmoon will record the sale of the equipment at would be $1, 000 and the account to be credit is the Equipment account for $4, 500
How to record sale of equipment ?When an equipment is sold, the amount would be debited to the cash account to show that a certain amount of money has been received for a sale.
The account to be credited would be the equipment's account iself to show that it is reducing in value because assets are credited when they reduce in value. The amount credited is the net book value which is :
= Cost of equipment - Accumulated depreciation
= 6, 500 - 2, 000
= $ 4, 500
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[5] ignoring all constraints, what is the total profit for pinewood furniture company if it produces 100 chairs and 200 tables? 1,240 60,000 90,000 2,720
The total profit for the pinewood furniture company if it produces 100 chairs and 200 tables: is 1,240.
Produce is a generalized term for plenty of farm-produced plants, together with culmination and vegetables (grains, oats, and so forth. are also from time to time considered produce). more mainly, the time period produce often means that the products are sparkling and commonly within the identical state as where and after they had been harvested.
Produce means any fruit or vegetable (including mixes of intact fruits and vegetables) and includes mushrooms, sprouts (irrespective of seed supply), peanuts, tree nuts, and herbs.
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abasi owns a business that manufactures backpacks and totes from recycled billboard canvas. abasi's company is in a growth phase, and she is primarily focused on improving efficiency while maintaining quality. which question represents the balanced scorecard perspective on which abasi is most focused?
If abasi's company is in a growth phase, and she is primarily focused on improving efficiency while maintaining quality. The question that represents the balanced scorecard perspective on which abasi is most focused is :"At what must we excel?"
What is balanced scorecard?
Balanced scorecard can be defined as the process that help companies to receive feedback on their business so as to enables the company to know how they can improve their performance as well as their internal and external operations.
One of the advantage of balanced scorecard is that it can enables companies to keep track of their performance or growth.
Therefore the question is "At what must we excel?".
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Tucker Company produced 5,600 units of product that required 3.60 standard hours per unit. The standard variable overhead cost per unit is $3.00 per hour. The actual variable factory overhead was $78,140, Determine the variable factory overhead controllable variance. Enter a favorable variance as a negative number
The variable factory overhead controllable variance is $17,660. The computation is shown below.
Variable overhead can be described as a condition that show the fluctuating manufacturing costs linked with operating businesses. When production output rises or decreases, variable overhead expenses move in kind.
To find variable factory overhead we can use this formula:
Variable factory overhead controllable variance = produced × product required × overhead cost - actual variable factory overhead
Based on the scenario we know that:
Produced = 5,600 units
Product required = 3.60
Overhead cost = $3.00
Actual variable factory overhead = $78,140
Hence,
Variable factory overhead controllable variance = (5,600 x 3.60 x $3.00) - $78,140
Variable factory overhead controllable variance = - $17,660
The complete question is shown below:
Tucker Company produced 5,600 units of product that required 3.60 standard hours per unit. The standard variable overhead cost per unit is $3.00 per hour. The actual variable factory overhead was $78,140, Determine the variable factory overhead controllable variance. Enter a favorable variance as a negative number. Determine the variable factory overhead controllable variance.
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ESS Corporation is organized on January 1, 20X1 and is a calendar year-end corporation. It meets all the S corporation requirements and all shareholders consent to an S corporation election. In order to be treated as an S corporation in the current year, ESS must make an election by ____ 15th, 20X1.
ESS Corporation is organized on January 1, 20X1 and is a calendar year-end corporation. It meets all the S corporation requirements and all shareholders consent to an S corporation election. In order to be treated as an S corporation in the current year, ESS must make an election by March 15th, 20X1.
ESS corporation is elected on March 15th, 20X1, the 75 days from january 1, 20X1. ESS Corporation turns into an S organization while it has met the necessities to be handled as an S organization. With an S organization shape, the company earnings or loss, deductions, and credit of ESS organization are handed thru the person shareholders for federal tax purposes.
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You need to purchase sf200,000 in 360 days. If you use a money market hedge, the amount of dollars you need in 360 days is:
You have 360 days to buy SF200,000. The sum of money you require in 360 days is $101,904 if you utilize a money market hedge.
What is a market defined as?
In order to expedite the transfer or transaction of products and services, sellers and buyers can come together in a market. A market may be actual, like a real store, or it may be virtual, like an online retailer. Capital markets, auction marketplaces, and criminal markets are other examples.
What are the various market types?
various market segments:
Monopoly: A monopolistic is a market structure that possesses the characteristics of the a pure market.Oligopoly.excellent rivalry.competitive monopoly.Monopsony.Oligopsony.Pure monopoly.To know more about Market visit:
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new england corp has sold $3 million dollars of concrete forms to midwest enterprises. new england recorded the transaction as an account receivable and midwest as an account payable. this is an example of
This is an example of trade credit. Accounts payable (AP) is the word used to describe the short-term obligation and responsibility that a business has to its suppliers and vendors who have extended credit to it for goods or services.
They are in charge of tracking the company's short-term debts, paying vendor invoices and bills, and making payments the company owes to suppliers and services creditors. Since it is a liability, the amount owed to creditors for accounts payable is listed under "current liabilities" on a company's balance sheet. Current liabilities often have a maturity of fewer than 90 days.
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how much should the emergency fund hold, according to the recommendation for creating a responsible financial plan for personal finances?
At least three to six months' worth of expenses should the emergency fund hold, according to the recommendation for creating a responsible financial plan for personal finances.
According to Investopedia, “Personal finance defines all monetary choices and sports of a man or woman or household, which includes budgeting, insurance, loan planning, financial savings and retirement planning.”
Understanding those phrases assist you to higher manage your price range and put together for destiny monetary success. Though there are numerous components to private finance, they are effortlessly healthy into one in all 5 categories: income, spending, financial savings, making an investment and protection. These 5 regions are vital to shaping your private monetary planning.
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the balance sheet approach to measuring bad debt expense focuses on multiple choice question. ratio of accounts receivable to sales. appropriate carrying value of accounts receivable. cash flows from sales.
Ratio of accounts receivable to sales.When a company is unable to collect its receivables because a client is unable to pay their debt and fulfil their obligation, a bad debt expense will be recorded.
The estimated bad debts will therefore be calculated as follows. ($25,000 x 2% - $100)\s= $500 - $100\s= $400.The following will be the journal entry to reflect the projected bad debt expense:
Debit: Cost of bad debt A/c $400
Credit: Doubtful debt allowance $400On the balance sheet, Accounts Receivable is reduced by the Allowance for Doubtful Accounts.A balance sheet is a statement of accounts that lists an organization's total assets, liabilities, capital, and net profit or loss.The term "receivables" describes the sum that the seller is due by the buyers or clients. Receivables are therefore recorded on the left side of the balance sheet as current assets in a corporation.Since it lowers the overall amount of accounts receivable, allowance for doubtful accounts is shown as a deduction below the accounts receivable.
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Although the Bank for International Settlements originally limited its membership to European Central Banks, the United States Central Bank joined in 1974.False
Despite the fact that the financial institution for global Settlements initially limited its membership to ECU significant Banks, the USA's crucial financial institution joined in 1974. false
Financial institution for Worldwide Settlements group for primary bankers; operates to build cooperation so as to foster monetary and economic balance.
One way to apprehend how its capabilities is to think of it as the primary bank for central bankers.
Mounted in 1930 in Basel, Switzerland, the bank for international Settlements (BIS) is a financial institution for central banks. It takes deposits from and presents an extensive range of offerings too, important banks, and thru them, to the global economic device.
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suppose you bought a put option with a strike price of $35 for $4. what would be your payoff if the underlying stock is worth $48 at option expiration? (payoff, not profit)
The striking price, which establishes the price at which the option holder can buy or sell the underlying securities, is a crucial component of call and put options.
There are various options listed with strike prices above and below the current market value. Let's say that the share price of a stock is $100. The holder of the call option with a strike price of $110 would be entitled to purchase the shares at that price on or before the contract's expiration date. In other words, if the stock price drops, the option would be worth less, and if the price of the underlying stock rises, it would be worth more. The call will expire worthless if the price never rises beyond $110 before the expiration date, though. Considering that you might purchase the shares.
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what is the coupon payment of a 25-year $1000 face value bond with a 4.5% coupon rate with semi-annual payments?
$11.2 will be the semi-annual payment for coupon payment of a 25-year $1000 face value bond with a 4.5% coupon rate.
the coupon rate is the nominal yield paid by a bond. This is an annual coupon payment made by the issuer in relation to the par or par value of the bond.The coupon rate is the nominal yield paid by a bond.If the market is trending higher and cheaper, coupon holders will earn less than in general market conditions because the bond is not paying more because its value was determined at the time of issuance.It is the annual income an investor can expect while holding a particular bond. It is determined when a bond is issued and is calculated by dividing the total annual coupon payments by its nominal value. At the time of purchase, the bond's yield to maturity and coupon rate are equal. Yield to maturity (YTM) is the yield on a bond if the investor were to hold the asset to maturity. This is the sum of all remaining coupon payments and depends on market value and the number of remaining payments.learn more about coupon rate
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posting a notice of unfair practices in the workplace, issuing a cease and desist order, providing back pay for lost wages, reinstating dismissed workers, and issuing an order to bargain with the union are all examples of:
Prior to a union election, it grants employers the right to engage in free speech activities against unions.
What are the Labor Relations Act's three guiding principles?maintain opportunity of affiliation and the successful acknowledgment of the right to aggregate haggling. uphold the prohibition of all forms of compulsory or forced labor. uphold the successful end of child labor.
What is prohibited by the Taft-Hartley Act?The Act was changed to stop unions from using unfair tactics against employees. Unions could not force an employer to discriminate against an employee for exercising their Section 7 rights, according to the amendments, which safeguarded employees' Section 7 rights from being restrained or coerced by unions.
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How would you categorize the marketing area in which frank davis is the marketing director and thomas green is one of the senior market specialists more as a work group or a team?.
How would you classify the marketing division where Thomas Green is a senior market specialist and Frank Davis is really the marketing director?
What marketing information do I learn?You can expected to learn a lot about the four Elements of the marketing mix, promotion, dollar value, and place—as much as how to develop effective marketing communication in this course.
We study marketing because?Marketing is a crucial aspect of the running of any business and a professional field. It investigates customer journeys and impressions as the main sources of profit. It also makes informed business judgments by using a variety of facts.
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which of the following would not be directly included in aggregate demand? a. an increase in firms' inventories b. purchases of goods by households c. firms' purchases of newly produced machinery d. government's tax collections
D. government's tax collections would not be directly included in aggregate demand.
Aggregate demand for or domestic final call for is the total call for for final goods and services in an financial system at a given time. it's far often called effective demand, though at different times this term is prominent. that is the demand for the gross domestic fabricated from a rustic.
Aggregate demand, however, unearths the overall sum of the market for every unmarried product and provider that a financial system produces and expresses it as a complete dollar price. for example, a rustic may want to have a combination demand for goods and services equal to $1B according to year.
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what are some of the most important factors for an expatriate manager to adjust to working in a foreign country?
Adaptability when entering a new culture, local relationships, Speaking the language of the nation you are visiting.
What function does an expatriate perform?An expatriate, often known as an expat, is a person who lives and/or works outside of their place of citizenship, frequently temporarily and for professional reasons. An individual who has given up their citizenship in their home country to obtain citizenship in another might also be considered an expatriate.
Why is expatriate management crucial?Organizations can exert more business and financial control over local operations by employing expatriates to manage operations in export territories. Together with their business partners, they set financial and operational goals, collaborate to meet those goals, and assess performance.
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A company paid $0.55 in cash dividends per share. Its earnings per share is $2.55, and its market price per share is $26.25. Its dividend yield equals:
The company's dividend yield equals 2%.
Exactly what does the dividend yield reveal?The yearly percentage of a company's share price that is paid out in dividends, reflected by the financial ratio known as the dividend yield. For instance, a corporation with a share price of $20 and a $1 annual dividend would have a 5% dividend yield. If a firm's dividend yield has been rising steadily, it may be because the company is raising its dividend, its stock price is falling, or both. Investors could see this as either a good or bad thing, depending on the situation.
How significant is dividend yield?Retirement-age investors, for example, significantly rely on dividend income. It is crucial for these investors to choose dividend-paying companies with established track records and evident financial soundness because the dividend yield of their portfolio may have a significant impact on their personal finances.
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your insured advises you they wish to have liability coverage for the use of any auto. which symbol do you use for this blanket coverage?
"Any auto" is the first symbol. The automobile need not be reported, and the date of purchase does not matter. The liability claim is covered by symbol 1.
"Any auto" (owned, borrowed, rented, or hired) is covered by Symbol 1 for liability.
What is the 7 symbol?
"Symbol 7" coverage is the most frequently purchased type of business auto insurance. Symbol 7 coverage covers any listed or "scheduled" vehicles on your policy. It is similar to personal auto insurance.
Is physical damage included in symbol 1?
1 symbol: This is the broadest kind of coverage for physical damage, and it covers any car you use for business. 2nd symbol: refers to coverage for your personal passenger vehicles that you own and use for your business.
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exercise 7-5 (algo) writing off receivables lo p2 on january 1, wei company begins the accounting period with a $36,000 credit balance in allowance for doubtful accounts. on february 1, the company determined that $8,000 in customer accounts was uncollectible; specifically, $1,500 for oakley company and $6,500 for brookes company prepare the journal entry to write off those two accounts. on june 5, the company unexpectedly received a $1,500 payment on a customer account, oakley company, that had previously been written off in part a. prepare the entries to reinstate the account and record the cash received.
Writing off receivables lo p2 on January 1, wei company starts offevolved the accounting length with a $36,000 credit stability in allowance for doubtful money owed.
Date trendy magazine Debit credit score
Feb 1 Allowance for doubtful debts eight,000
bills receivable- Oakley Co. 1,500
debts receivable- Brookes co. 6,500
Since the credit score stability in allowance for doubtful accounts is $36,000, to write off the uncollectible money owed, allowance for dubious money owed could be debited and debts receivables for Oakley and Brookes co. can be credited with the respective amounts.
2.
Date trendy magazine Debit credit
June 5 accounts receivable-Oakley co. 1,500
Allowance for dubious debts 1,500
To report the reinstatement of Oakley's account, the first money owed receivable from Oakley co. might be debited and Allowance for dubious accounts will be credited with the quantity received all of sudden.
3.
Date widespread journal Debit credit score
June five cash 1,500
bills receivable-Oakley co. 1,500
To document the receipt of coins from Oakley co, cash might be debited and debts receivables will be credited.
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