Give employees a lunch or a presentation about the company's goals and priorities.
The objectives you should set for your employees should be?Relevant, measurable, attainable, and time-based. We've all heard it, but few people are aware of how to set goals that meet these requirements. Shrewd objectives for work are not difficult to set when you utilize these tips: Specific: Try focusing the goal on a single aspect of an employee's job.
What is the significance of employees setting goals?Employees can be motivated by setting goals. Researchers have found that employees can feel a stronger connection to their company when they set goals. This not only encourages better employee performance but also contributes to increased office optimism.
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Full Question = Kate, the manager of Halpern Tooling Company, wants to create a stronger, more positive culture at the company. How might Kate promote and encourage a stronger culture?
A) Create a spreadsheet showing that employees are better paid than at other companies.
B) Treat employees to a lunch/presentation that showcases the firm's goals and priorities.
C) Analyze the macroenvironment of the company and that of its competitors.
D) Analyze the competitive environment and competitive intelligence of the company.
E) Suggest that supervisors review the company handbook with their departments.
the dex home improvement general partnership is planning to adopt a fiscal year ending september 30, while brinks (a 20% partner) uses the calendar year as his taxable year. what internal revenue code section and subsection describes how brinks should determine the amount of income and other partnership items from the fiscal-year partnership that must be reported on brinks's calendar-year tax return?
The internal revenue code of section 706 and subsection describes the brinks should determine the amount of income and other partnership items.
What is tax and which section and subsection describes brinks and determine the amount of income?Tax is a fixed amount or financial charge levied by government from a service man or women for public works.Here the question is asked about internal revenue code section and subsection describing brinks determine the amount of income .The section 706 of taxable years of partner and partnership is about how the brinks determine the amount of income and other partnership.The income tax expense is all calculated by multiplying the taxable income by effective tax rate and that's how the income tax rate is calculated.Hence the section 706 and subsection describes how brinks should determine the amount of income and other partnership items from the fiscal year partnership .To know more about revenue code visit:
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as an early entrant into the german market, jason's company made several significant and expensive mistakes. jason underestimated the financial liability the company would face as a foreign firm. this liability is an example of
Jason misjudged the company's potential financial exposure due to its status as a foreign entity. A prime illustration of a pioneering cost is this obligation.
Pioneering expenses occur when the home market's business system and the foreign one are so unlike that the company must invest a lot of time, money, and effort into figuring out how to play the game.
Setting the (basic) price for a new product is known as pioneer pricing. To swiftly recoup development expenditures, the base price might be set high. It can also serve as a benchmark for generating discount pricing across a range of market sectors.
Any obligation under a contract to provide money or another financial asset to another entity or to exchange financial assets or financial liabilities with another entity under circumstances that could be disadvantageous to the entity is known as financial liability.
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if a taxpayer fails to pay his property taxes on time and the city decides to foreclose the property, what accounting entry should the city make in its general fund
The accounting entry that the city should make in its general fund is to reclassify the property tax receivable account to a tax lien receivable account.
Who is a taxpayer and what accounting entry should the city make in its general fund?A taxpayer is a genuine citizen who pays the money from the salary one gets annually into government's account called tax.Here the question is asked of the consequence of failing the pay of property tax on time and the city decides to foreclose the property .The rule of property tax revenue says that the property tax revenue must be compulsorily recognized in the period of when it is levied.The tax needs to be levied no matter if they are due or if they need to be collected .Hence if a taxpayer fails to pay his property taxes on time and the city decides to foreclose the property, the city should reclassify the property tax recievable account to a tax lien receivable account.To know more about tax visit:
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what are current liabilities? (check all that apply.) multiple select question. current liabilities are usually settled by paying out current assets such as cash. current liabilities are property, plant and equipment that are tangible and depreciated. current liabilities are liabilities that are not due to be settled within one year or the operating cycle, whichever is longer. current liabilities are liabilities due to be paid within one year.
Current liabilities are usually settled by paying out current assets such as cash are current liabilities. Commonly, current assets—assets that are depleted within a year—are utilised to settle current liabilities.
Accounts payable, short-term debt, dividends, notes payable, and unpaid income taxes are a few examples of current obligations. On the balance sheet, current liabilities include things like accounts payable, payroll due, payroll taxes, accrued expenses, short-term notes payable, assets income taxes, interest payable, accrued interest, utilities, rental fees, and other short-term loans. A company's current liabilities are its debts that are due within a year of the balance sheet date and will either utilise current assets or generate new current liabilities.
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what is one reason that firms partner with communities to increase economic development? group of answer choices to expand environmental sustainability. to develop workplace skills. to control the rate of entrepreneurship. to avoid paying higher taxes.
One of the reasons businesses collaborate with local communities to boost economic growth is to improve environmental sustainability.
Why is sustainability dependent on collaboration?
You are driving and enabling sustainable practices by encouraging a collaborative atmosphere. This will not only benefit society, the economy, and the environment, but also your business as a whole.
Is monetary development viable with natural manageability?
Production, consumption, and resource use all rise in tandem with economic expansion, which has a negative impact on the environment, human health, and the climate. The EEA briefing also notes that current research suggests that economic growth cannot be completely separated from its effects on the environment.
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bennett company has a potential new project that is expected to generate annual revenues of $263,900, with variable costs of $144,800, and fixed costs of $61,900. to finance the new project, the company will need to issue new debt that will have an annual interest expense of $25,500. the annual depreciation is $25,600 and the tax rate is 21 percent. what is the annual operating cash flow?
A measure of the amount of money made by a company's regular business operations is called operating cash flow (OCF).
What Is Operating Cash Flow (OCF)?Operating cash flow shows if a business can produce enough positive cash flow to support and expand its operations; if not, it may need outside finance for capital growth.An essential metric for assessing the financial performance of a company's main business operations is operating cash flow.A cash flow statement's opening part, which also contains cash from investing and financing activities, shows operating cash flow.The indirect method and the direct approach are both ways to show operating cash flow on a cash flow statement.The indirect technique starts with the income statement's net income and then subtracts non-cash items to get the cash base amount.The direct method uses actual cash inflows and outflows on the cash flow statement and tracks all transactions in a period on a cash basis.To Learn more About operating cash flow Refer to:
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Money neutrality suggests that an increase in the money supply leads to _____ in price level and inflation and _____ in real gdp.
Money neutrality suggests that an increase in the money supply leads to increase in price level and inflation and inflation in real gdp.
Money neutrality is a thesis in business that states that while an increase in revenue can result in an increase in price level, it has no real impact on the GDP.In other words, money neutrality means that a rise in the value of money has no impact on the economic equilibrium needed to raise the nation’s GDP.According to the money neutrality idea in business, factors like as GPD or employment etc. are unaffected by the increase in money.
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although meant to protect the interests of american farmers, how did the smoot-hawley tariff hurt the global economy?
The smoot-hawley tariff negatively affected the global economy as it increased the duties at a time when countries were still struggling to repay their debts.
The Smoot-Hawley Tariff Act of 1930 increased import duties to shield American farmers and other businesses from global competitors. It is commonly believed that the Smoot-Hawley Tariff Act contributed to the harshness of the Great Depression in the United States and around the world. The law's official name is the United States Tariff Act of 1930.
The Great Depression and the expenditures of reconstruction after World War I had already put a burden on the economy of the countries affected by Smoot-tariff Hawley's increases. Germany was already having trouble paying war reparations to the United States and other winning allies and was one of the noteworthy loser in the trade wars.
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the sec has strengthened auditor independence by requiring that management group of answer choices engage auditors to report in accordance with the foreign corrupt practices act. report the nature of disagreements with former auditors. select auditors by a majority vote by the officers. avoid any social contact with the auditors.
The Securities and Exchange Commission (SEC) has strengthened auditor independence by requiring that management Report the nature of disagreements with former auditors.
What Is the Securities and Exchange Commission (SEC)?
An independent federal government regulatory body, the U.S. Securities and Exchange Commission (SEC), is in charge of safeguarding investors, ensuring the fair and orderly operation of the securities markets, and promoting capital formation. It served as the nation's first federal securities market regulator after being established by Congress in 1934. The SEC encourages complete public disclosure, defends investors from dishonest and market-manipulating techniques, and keeps an eye on corporate takeover activities in the country. The SEC collaborates with the Justice Department on criminal matters and has the authority to pursue civil lawsuits against violators of the law.
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An arena receives $1,000 per event for 16 concerts. If the administrative costs for this sponsorship total $12,000, what is the profit margin for the concert sponsorship?.
For 16 concert events, the profit margin for the concert sponsorship is 25%.
Profit margin is usually expressed in percentage or ratio to total revenues.
The formula for the profit margin is:
PM = [(Revenue - total cost ) / revenues] x 100%
Data from the problem:
The revenue per event = $1,000
number of events = 16
Hence,
total revenue = 16 x $1,000 = $16,000
total cost = $12,000
Profit = $16,000 - $12,000 = $4,000
Therefore,
Profit margin = 4,000/16,000 x 100% = 25%
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in florida, who or what entity must keep records of all funds deposited into the custodial or trust account that indicate the date and from whom the broker received the funds, the date deposited, the date any withdrawals are made, and other necessary information?
In Florida, the broker must keep records of all funds deposited into the custodial or trust account that indicates the date and from whom the broker received the funds, the date deposited, the date any withdrawals are made, and other necessary information.
The broker could be a firm or any individual between investors and the security exchange. An individual or investors require the broker because the security exchange accepts orders from the members of those exchanges.
The service provided by brokers is compensated as fees, commissions, or any other exchange. Discount brokers usually work for their clients but do not suggest any advice related to their funds investment. Full-service brokers work for the client and provided investment advice as well.
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what are the portfolio weights for a portfolio that has 126 shares of stock a that sell for $36 per share and 106 shares of stock b that sell for $26 per share? (do not round intermediate calculations and round your answers to 4 decimal places, e.g., .1616.)
Value of portfolio is $8,200 and expected return 11.56%.
1. Value of stock A = 126 × $36 = $4,536
Value of stock B = 106 × $26 = $2,756
Value of portfolio = $4,536 + $2,756
= $7,292
Weight of stock A = $4,536 ÷ $7,292
= 0.6221 × 100
= 62.21%.
Weight of stock B = $2,756 ÷ $7,292
= 0.3779 × 100
= 37.79%.
2. Value of portfolio = $3,600 + $4,600
= $8,200
Weight of stock A = $3,600 ÷ $8,200
= 0.4390 × 100
= 43.90%
Weight of stock B = $4,600 ÷ $8,200
= 0.5610 × 100
= 56.10%.
Portfolio return = 0.4390 × 10% + 0.5610 × 13%
= 4.39 + 7.2930%
= 11.6830%
3. Expected return = 0.16 × (-0.12) + 0.52 × 0.13 + 0.32 × 0.21
= -0.0192 + 0.0676 + 0.0672
= 0.1156 × 100
= 11.56%.
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what do manufacturers sometimes add to stored-pressure water extinguishers in order to increase their effectiveness?
Manufacturers sometimes add class A foam to stored-pressure water extinguishers in order to increase effectiveness.
A biodegradable blend of foaming and wetting chemicals is called "Class "A" Foam Concentrate. Two qualities of water may be altered when the right quantities are combined with it. The wetting effectiveness of Class "A" foam will increase, allowing for deeper penetration into Class "A" fuels. When sodium bicarbonate and foam stabilizer are combined with aluminum sulfate in a foam-type fire extinguisher, a reaction occurs that releases carbon dioxide, which is used to put out the fire.
Level A When it comes to disposal, the foam may be created from non-corrosive, non-toxic, and biodegradable components. Heat absorption is greatly boosted when a foam bubble's surface area is greater than that of simple water droplets.
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the free cash flow to the firm is reported as $375 million. the interest expense to the firm is $60 million. if the tax rate is 35% and the net debt of the firm increased by $33 million, what is the free cash flow to the equity holders of the firm?
The free cash flow to the equity holders:
FCFE =
FCFF + Interest x ( 1- Rate of tax ) + Net Increase in the debt of the firm
$375 million + $60 million ( 1- 35%) + $33 million
$375 million + $39 million + $33 million
$447 million.
What is free cash flow?
Free cash flow is the cash flow to the firm or equity after all the debt and other obligations are paid off.
There are basically two types of Free Cash Flow
1. Free Cash to the Firm
2.Free Cash to Equity.
It can provide important insights value of a company, efficiency and market value of company.
Hence, The free cash flow to the equity holders would be $447 million.
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diversification is: a. the process of entering new industries, distinct from a company's core or original industry, to make new kinds of products for customers in new markets. b. the process of exiting declining industries that are distinct from a company's core or original industry, to make new kinds of product for customers in new markets. c. the process of entering existing industries similar to a company's core or original industry to remake products for customers in established markets. d. the process of exiting new industries, distinct from a company's core or original industry, to make new kinds of products for customers in new markets.
Diversification is defined as the process of entering new industries that are distinct from a company's core or original industry in order to create new types of products for customers in new markets.
Diversification is a method of allocating portfolio resources or capital to a variety of investments. Diversification's ultimate purpose is to reduce portfolio volatility by offsetting losses in one asset class with gains in another. "Do not put all your eggs in one basket," as the saying goes. Diversification is usually used to eliminate or level off unsystematic risk. Unsystematic risk is a firm-specific risk that impacts only one company or a small group of companies. As a result, when a portfolio is well-diversified, assets that outperform compensate for the negative effects of underperforming investments.
Diversification, on the other hand, does not usually impact the inherent or systematic risk that applies to the financial markets as a whole.
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g because an audit in accordance with generally accepted auditing standards is influenced by the possibility of material errors, the auditor should conduct the audit with an attitude of group of answer choices professional responsiveness. conservative advocacy. objective judgment. professional skepticism.
The correct option would be Professional Skepticism in case of audit accordance.
What exactly is a professional sceptic?
Having a sceptical mindset is what it means to be professional sceptic. being watchful for anything that could point to an inaccuracy or fraud-related misrepresentation. Analyzing audit evidence critically Professional scepticism involves being on the lookout for things like audit evidence that conflicts with previously acquired audit evidence. Information that casts doubt on the veracity of records and answers to questions that will be used as audit proof. Conditions that could point to potential fraud. It is a crucial mindset that improves the auditor's capacity to recognise and react to circumstances that could point to a potential misstatement. A critical evaluation of audit evidence is part of it.
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a large organization in atlanta, ga is coordinating all of their promotional messages to ensure consistency. what is this process called? question 2 options: a) aida concept b) integrated marketing communications c) the selling process d) promotional mix
In Atlanta, Georgia, a large organization is organizing all of its advertising communications to maintain uniformity. This procedure is known as integrated marketing communications. Thus, the correct option is (b) integrated marketing communications.
What is integrated marketing communications?A strategy for ensuring that all brand encounters received by a consumer or prospect for a product, service, or organization are relevant to that individual and consistent over time. These include advertising, direct marketing, web marketing, sales promotion, and public relations.
Coke's'share a coke with' campaign, which leveraged cohesive messaging across TV, Social, Outdoor, and Display, resulted in a 7% increase in Coke consumption by the target demographic, making it one of the most successful Coke ads in history.
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your family business uses a secret recipe to produce salsa and distributes it through both smaller specialty stores and chain supermarkets. the chain supermarkets have been demanding sizable discounts, but you do not want to drop your prices to the specialty stores. true or false: one way to offer a lower price while defending yourself against antitrust lawsuits would be to offer a volum
Although there are ethical and legal ways to charge prices for different clients, some forms of price discrimination are illegal in some countries.
What is Price discrimination in chain super market ?charging one customer a lower price for the identical product as other customers. In the grocery industry, price discrimination might take the form of omitting to offer price promotions and packaging with a reduced cost per unit. Additionally, it can take the shape of unfavorable payment terms.
Price discrimination is the act of a single retailer, wholesaler, or manufacturer charging various clients varying rates for the same goods. This is a common practice that does not automatically entail discrimination.
When the same vendor sells the same goods or services at various prices, there is price discrimination in the market. Price discrimination aims to maximize the seller's profit, capture the excess of consumers in the market, and produce the greatest amount of sales income for a good offered. Despite the fact that the cost of acquiring the goods is the same, the seller can raise the price in accordance with factors such as geography, customer financial situation, product demand, etc.
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stanziano construction needs a backhoe to complete a project. if it pays hofmann rentals for temporary use of the equipment, the transaction will be governed by
To finish a job, Stanziano Construction needs a backhoe. If it pays Hofmann Rentals for the short-term use of the equipment, Article 2A of the UCC will apply to the transaction.
What is covered by Article 2 of the UCC?The UCC's Article 2 exclusively applies to goods. Real estate and secured transactions are not considered to be goods. They do not contain securities or commercial paper. Unborn animals or underground minerals are examples of goods, which are tangible objects that may be moved.
Who is covered by UCC Article 2?The sale of commodities between merchants or between a merchant and a non-vendor is covered by UCC Article 2. As a result, while entering into a business or commercial transaction, merchants are expected to adhere to a set of standards of behavior. Non-merchant transactions are not covered by Article 2 UCC.
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under paragraph 9 of the trec one to four family residential contract, the buyer needs to move in before closing because she is starting a new job and she is moving in from out of state. what kind of tenancy is formed if she moves in early if the parties fail to negotiate a written lease?
The user is in default is the kind of tenancy is formed if she moves in early if the parties fail to negotiate a written lease.
What is default?Computer science standards refer to existing values for user-configurable settings assigned to software applications, computer programs, or devices. Such settings are also known as presets, especially for electronic devices. The default is a default value that applies universally to all instances of a device or model, making the device as accessible "out of the box" as possible without requiring a lengthy configuration process before use. It is intended to Users simply change the default settings according to their personal preferences. Many devices offer users the option to restore these default settings for one or all options. Such an association increases the likelihood that that setting or value will be selected. This is known as the default effect.to learn more about default from the given link :
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as spending increases, there will be upward pressure on the price of inputs including wages. as the cost of production rises, businesses start to increase prices as they attempt to produce more. this scenario best describes .
The scenario best describes Movement along the aggregate supply curve.
The movement of the supply curve is mostly caused by price. Businesses report better earnings as price levels rise in the short term. Their overall productivity level rises as a result. Production decreases as a result of losses caused by falling price levels. The aggregate demand curve will change as a result of price and other elements affecting the level of expenditure by consumers, governments, businesses, and foreigners.
Consumption is more likely to increase when consumers are more confident about avoiding unemployment, which moves the aggregate demand curve to the right. However, when consumers are unconfident, they spend less, which causes the AD curve to move to the left.
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A result of welfare economics is that the equilibrium price of a product is considered to be the best price because it?.
A result of welfare economics is that the equilibrium price of a product is considered to be the best price because it maximizes the combined welfare of buyers and sellers.
The study of how the distribution of resources and goods impacts social welfare is known as welfare economics. This is directly related to the study of income distribution and economic efficiency, as well as how these two aspects affect the general welfare of people in the economy.
Practically speaking, welfare economists aim to offer instruments to direct public policy in order to produce favorable social and economic outcomes for the entire society. However, welfare economics is a subjective field of study that strongly relies on presumptions about what constitutes, how to measure, and how to evaluate individual and societal welfare.
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The authors of the united states constitution included a system of checks and balances to.
The authors of the United States Constitution included a system of checks and balances to ensure that no branch of government ever has an excessive amount of authority to avoid the tyranny of any branch.
The federal government of the United States is composed of three branches: the executive branch, which the President exercises, the legislative branch, which Congress (the House of Representatives and the Senate) exercises, and the judicial branch, which is comprised of the Supreme Court and other federal courts established by Congress.
The checks and balances mechanism established by the Constitution is intended to prevent the tyranny of one branch.
The majority of significant activities demand the involvement of more than one department of government. For instance, the President has the authority to veto laws that Congress adopts. Criminal offenses are prosecuted by the executive branch, but judicial trials are still required. Federal judges are chosen by the President, but they need to be confirmed by the Senate.
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i ask you to lend me $500 and assume that the probability of receiving full payment, at riskless rate of 3%, of $515 is 97%, the probability of receiving $100 is 2%, and the probability of receiving zero payment is 1%. if the bond quotes a rate of return of 11%, what is the risk premium? group of answer choices
None of the options is correct. The risk premium is 10.69%
The investment return that an asset is anticipated to generate over and above the risk-free rate of return is known as a risk premium. Investors receive compensation in the form of an asset's risk premium. It serves as compensation to investors for their willingness to accept greater risk in a particular investment than in a risk-free asset.
Expected return on investment (risk-free)
= {(515*0.97) + (100*0.02) + (0*0.01)} - 500
= 501.55 - 500 = 1.55
Expected rate of return = risk-free return
Expected return/Amount invested = 1.55/500
=0.0031 or 0.31%
Risk Premium:
Rate of return on the bond - Expected risk-free return
11% - 0.31%
= 10.69%
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a monopolistically competitive industry that earns economic profits in the short run will group of answer choices experience a rise in demand in the long run. experience the exit of existing firms out of the industry in the long run. continue to earn economic profits in the long run. experience the entry of new rival firms into the industry in the long run.
A monopolistic competitive industry that earns economic profits in the short run will experience the entry of new rival firms into the industry in the long run.
By producing the amount where marginal revenue equals marginal cost, a monopolistically competitive firm maximizes profits or minimizes losses in the near run. If the average total cost is less than the market price, the business will turn a profit.
Monopolistic competition among businesses results in short-term economic gains, but not long-term ones. The latter is also a result of the sector's open entry and exit rules.
The economic market model involves monopolistic competition, with many different sellers providing similar but different items. The demand curve is elastic in monopolistic competition due to the fact that many of the goods sold by the firms are still close substitutes.
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jonathan is currently enrolled in college full-time; however, he works part-time at a restaurant on weekends to earn some spending cash. jonathan would be considered:
Jonathan is currently enrolled in college full-time; however, he works part-time at a restaurant on weekends to earn some spending cash. Jonathan would be considered as employed.
What steps can be taken to lessen frictional unemployment?
Short-term unemployment includes frictional unemployment. When someone actively seeks a job or a new career, they are said to be in a frictional state of unemployment.
Unemployment that is only intermittent isn't always a terrible thing. In fact, since it's voluntary, frictional unemployment may indicate a strong economy. By immediately matching potential employees with open positions, frictional unemployment is decreased.
Because of the internet, job seekers can use social media and job-posting websites to find employment, which can result in shorter hiring turnaround times.
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Two companies that experience identical accounting events may still report different amounts of net income. This statement is.
Two companies that experience identical accounting events may still report different amounts of net income.
The above statement is True.
What do you mean by net income?
Net income can be defined as the amount an individual or business makes after deducting costs, allowances and taxes.
In business it can be calculated by knowing how much money has left over after all expenses, including salary and wages, cost of goods or raw material and taxes.
The formula for calculation is
Revenues - expenses, interest, and taxes.
It represents the final measure of the profitability of the company. There are certain ways to determine a good net income, for example a 10% net profit margin is considered average, a 20% margin is considered high (or “good”), and a 5% margin is low.
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the public company accounting oversight board may conduct investigations and disciplinary proceedings of: registered public accounting firms registered public accounting firm employees a. yes yes b. yes no c. no yes d. no no multiple choice
The Public Company Accounting Oversight Board may conduct investigations and disciplinary proceedings of Registered Public Accounting Firms and Registered Public Accounting Firm Employees.
What is meant by Accounting Oversight Board ?
The Sarbanes-Oxley Act of 2002 established the Public Company Accounting Oversight Board (commonly referred to as the PCAOB), a nonprofit, private company, to regulate accounting specialists who produce independent audit reports for publicly listed businesses.
The SEC was given the ability to oversee the PCAOB's activities, to appoint or dismiss members, to approve the PCAOB's budget and regulations, and to consider appeals of PCAOB inspection reports and disciplinary proceedings when Congress established the PCAOB.
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the manager of an online news service received the report above on the number of subscriptions sold by the service. the manager estimated that the percent increase from 201220122012 to 201320132013 would be double the percent increase from 201320132013 to 201420142014. how many subscriptions did the manager expect would be sold in 201420142014?
The manager estimated that the percent increase from 2012 to 2013 would be double the percent increase from 2013 to 2014. 6,468 subscriptions did the manager expect would be sold in 2014
given table :
2012 : 5,600
2013 : 5,880
The manager predicted that the percentage increase from 2012 to 2013 would be half that of 2013 to 2014.
It indicates that he predicted that in a year, the sold percent would double.
the amount of difference in 2012 to 2013 = 5880 - 5600 = 280
percentage increase from 2012 to 2013 = (280/5600)*100
= 0.05 × 100
= 5%
This represents a 50% increase from 2013 to 2014 in percentage terms. As a result, in 2014 there would be a 10% increase.
The increase in 2014 = 5880 + (10% of 5880)
= 5880 + (10/100*5880)
= 5880 + (0.10 × 5880)
= 5880 + 588
= 6,468
In 2014 subscriptions would be sold is 6,468.
the complete question is:
The manager of an online news service received the report given in the table on the number of subscriptions sold by the service. The manager estimated that the percent increase from 2012 to 2013 would be half the percent increase from 2013 to 2014. How many subscriptions did the manager expect would be sold in 2014?
table:
2012: 5,600
2013: 5,880
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the balance of allowance for doubtful accounts is added to accounts receivable on the balance sheet. true false
the balance of allowance for doubtful accounts is added to accounts receivable on the balance sheet is false.
A counter account called an allowance for doubtful accounts nets against the total receivables shown on the balance sheet to only show the amounts anticipated to be paid. The percentage of accounts receivable that are anticipated to be uncollectible is estimated by the allowance for doubtful accounts. Customers' real payment habits, however, could be very different from the prediction. The provision for doubtful accounts has a standard credit balance and is a counter asset. It lowers the balance sheet's stated value of accounts receivable.
Accounts receivable should be reported by businesses at their net realizable value, which equals Accounts Receivable less Allowance for Doubtful Accounts. When using the allowance approach, this contra account is utilised. It is applied to the accrual of bad debt costs. In the event of a write-off, the allowance account is decreased rather than the bad debt expenditure.
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