Answer:
$368
Explanation:
Bad debts also known as uncollectible expenses are the portion of the accounts receivable in accrual accounting that have to be written off as they are eventually not paid by the accounts receivable.
One of the ways of estimating bad debt is allowance method , which is expressing a bad expenses as a percentage of credit sales based on experience and past records.
Days past due balance % uncollectible
Current 11,000 1% 110
30-60 days 2,400 3% 72
61-90 days 1,700 6% 102
Over 90 days 840 10% 84
Total 368
Bad debt expenses to be recognized is $368
Heller Corporation should report a bad debt expense of $368,000 for the current period, calculated by adding the products of each A/R balance by its estimated percentage uncollectible.
The bad debt expense that Heller Corporation should report for the current period can be calculated by multiplying each A/R balance by the corresponding estimated percentage uncollectible, and summing these values. Here's a step-by-step process:
Add these numbers together to get the total bad debt expense: $110 + $72 + $102 + $84 = $368 (in thousands, so $368,000).
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Answer:
POAR= 170% of the direct material cost.
Explanation:
Explanation:
The predetermined overhead absorption rate (POAR: The overhead absorption is a rate which is used to charge overheads to production units. Note that this rate is computed using estimated figures
The rate is computed as follows:
Predetermined overhead absorption rate
POAR
= (Budgeted overhead for the period/Budgeted direct material cost)× 100
= $680,000/400,00 × 100
= 170% of the direct material cost.
b. Cash receipts from sales, $264,000.
c. Budgeted cash disbursements for purchases, $138,000.
d. Budgeted cash disbursements for salaries, $80,000.
e. Other budgeted expenses, $15,000.
f. Cash repayment of bank loan, $10,000.
g. Budgeted depreciation expense, $25,000.
Answer:
$47,000
Explanation:
The cash budget is a forecast of the company's expected movement in cash considering the expected outflows and inflows. This movements result in a change between the opening and ending cash balance. This may be expressed mathematically as
Opening balance + Cash receipts - Cash disbursed = ending balance
Cash receipts for the period
= $264,000
Cash disbursed
= $138,000 + $80,000 + $10,000 + $15,000
= $243,000
ending balance = $26,000 + $264,000 - $243,000
= $47,000
Answer:
$688,800
Explanation:
Calculation for the what should be the total sales commissions at a sales volume of 41,000 units
First step
Using this formula for Sales commission per unit
Sales commission per unit = Total sales commissions ÷ Unit sales
Let plug in the formula
Sales commission per unit= $646,800 ÷ 38,500 = $16.80
Second step is to calculate for the Total Sales commission by using this formula
Total sales commission = Sales commission per unit × Unit sales
Total sales commission= $61.80 × 41,000
Total sales commission =$688,800
Therefore the Total sales commission will e $688,800
A purchase is generally defined as the buying of goods and services on the price decided by the seller of goods.
A transactions is defined as the record or an agreement between the buyer and seller of the goods or services.
1. Cash $17,000
To Service revenue (music) $17,000
(The academy receives cash by providing music services)
2. Prepaid Insurance $4,200
To Cash $4,200
(The academy paid cash in advance to purchase insurance policy)
3. Musical Equipment $20,000
To Cash $20,000
(The academy paid cash for acquiring musical equipment)
4. Cash $30,000
To Notes payable $30,000
(The academy borrowed cash by signing a notes from the bank)
Learn more about Transactions, refer to the link:
Answer:
See explanation section
Explanation:
1. Debit Cash $17,000
Credit Service revenue (music) $17,000
Note: The academy receives cash by providing music services to the students.
2. Debit Prepaid Insurance $4,200
Credit Cash $4,200
Note: The academy paid cash in advance to purchase insurance policy.
3. Debit Musical Equipment $20,000
Credit Cash $20,000
Note: The academy paid cash for acquiring musical equipment.
4. Debit Cash $30,000
Credit Notes payable $30,000
Note: The academy borrowed cash by signing a notes from the bank.
Answer:
classified as a liability when provided by creditors and as stockholders' equity when provided by owners
Explanation:
Corporate finance can be explained as how the revenue, asset as well as is been taken care of in business. The financing could be by individual or institution.
It should be noted that Financing that individuals or institutions have provided to a corporation is classified as a liability when provided by creditors and as stockholders' equity when provided by owners
Answer:
C. the activity of matching supply of output with demand over the medium time range.
Explanation:
Aggregate Planning is the activity of matching supply of output with demand over the medium time range through the use of information gotten from the inventory levels.
This ultimately implies that, an aggregate planning is a strategic technique used by organizations to make an aggregate plan for its manufacturing (production) process typically ahead of time, in order to have an idea of the level of goods are to be produced and what resources are required so as to reduce the total cost of production to its barest minimum.
Hence, aggregate planning is an attempt to forecast consumer demands within the criteria set by product, production process and distribution methods i.e within the intermediate range of its capacity.