Homework Answers
| Answer | |
| Answer-5 | The Correct option is : B |
| The entry to write off this account would be debit Bad Debt Expense; credit Accounts Receivable | |
| Answer-6 | The correct option Is : A i.e $3600 |
| Balance in Allownace for Doubtful Debts = 2,400 – 1,800 + 3,000 | |
| Answer-7: | ||||||
| The correct option Is : C i.e $40400 | ||||||
| Explanation | ||||||
| Face Value | = | $40,000 | ||||
| Life of Note | = | 40 | days | |||
| Interest rate | = | 9% | per year | |||
| Interest | = | $40,000 | × | 9% | × | 40 |
| 360 | ||||||
| Interest | = | $400 | ||||
| Maturity Value of Note Receivable | = | $40,000 | + | $400 | ||
| Maturity Value of Note Receivable | = | $40,400 | ||||
| Please Like ( Positive Rating ) | ||||||
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