0
Want this question answered?
Be notified when an answer is posted
Add your answer:
Earn +20 pts
How do you calculate net purchases?
Purchase Return and Allowance- Discount From purchase = Net Purchase
What is a trade in allowance?
Trade in allowance is the allowance provided by the vendors to the company when company sell the old asset and acquire the new same asset from vendor, trade-in allowance is the amount paid by vendor for the old asset if it is more than salvage value then it is gain otherwise loss on sale of asset.A trade-in allowance is the amount of money taken off the sale price in exchange for the item being traded in by the customer. It is most commonly seen in the automotive industry when a person trades in their old car to the dealer. The term "trade-in allowance" is used because it is different than the actual value of the item. For example, the new car has a retail price of $20,000, but the dealer would be willing to discount the vehicle and sell it for $19,000 cash. The old car has a wholesale value to the dealer of $8,000; but the dealer would offer a trade-in allowance of $9,000 off the full retail price of the new car. The difference between full retail and the trade-in allowance ($11,000) is the same as the difference between what the dealer is willing to take for the new car and what he is willing to pay for the trade-in (19 - 8 = 11). The actual values are used in the accounting entry. Here, the dealer records a $19,000 sale and a used car at a cost of $8,000.
Linus Company uses the percent of sales method to estimate uncollectibles Net credit sales for the current year amount to 130000 and management estimates 2 percent will be uncollectible Allowance for?
Uncollectable allowance = 130000 * 2% Uncollectable allowance = 2600
What is the formula for calculating net account receivable?
Net Accounts Receivable is found by subtracting the "noncollectable" amount in AR from the balance. Also referred to sometimes as ADA (allowance for doubtful accounts).
How do you calculate net accounts receivable?
should accounts revceivable (net) bedeleted out Not sure what the first answer is saying, but net accounts receivable is total accounts receivable less allowance for doubtful accounts (accounts you think are not going to pay you)
How do you calculate net purchases?
Purchase Return and Allowance- Discount From purchase = Net Purchase
What is a synonym for annuity?
Income, grant, allowance, proceeds, net...
What is the trade readjustment act?
Trade Readjustment Allowance or TRA is a special program by the federal government to keep the workers who were affected by the increase in imports. They can be qualified for reemployment services, training, job search allowance, and relocation allowance.
Which one of the approaches for the allowance procedure emphasizes the net realizable value of accounts receivable on the balance sheet?
Which one of the approaches for the allowance procedure emphasizes the net realizable value of accounts receivable on the balance sheet?
What is a trade in allowance?
Trade in allowance is the allowance provided by the vendors to the company when company sell the old asset and acquire the new same asset from vendor, trade-in allowance is the amount paid by vendor for the old asset if it is more than salvage value then it is gain otherwise loss on sale of asset.A trade-in allowance is the amount of money taken off the sale price in exchange for the item being traded in by the customer. It is most commonly seen in the automotive industry when a person trades in their old car to the dealer. The term "trade-in allowance" is used because it is different than the actual value of the item. For example, the new car has a retail price of $20,000, but the dealer would be willing to discount the vehicle and sell it for $19,000 cash. The old car has a wholesale value to the dealer of $8,000; but the dealer would offer a trade-in allowance of $9,000 off the full retail price of the new car. The difference between full retail and the trade-in allowance ($11,000) is the same as the difference between what the dealer is willing to take for the new car and what he is willing to pay for the trade-in (19 - 8 = 11). The actual values are used in the accounting entry. Here, the dealer records a $19,000 sale and a used car at a cost of $8,000.
Would a decrease in the allowance for doubtful accounts increase profitability?
Answer:Yes. To increase the allowance for doubtful accounts, expenses are incurred. Uncollectible accounts expense is debited, and the allowance is credited.The allowance is a buffer to absorb defaults. If the allowance is too high, the journal entry to increase the allowance is reversed. In other words, a debit to the allowance, and a credit to the uncollectible accounts expense. The reversal increases net income (as expenses are reduced).
What is Dylan and Cole Sprouse's allowance?
Dylan and Cole Sprouse are 22 years old and currently do no receive an allowance. However, they each have a net worth of 8 million dollars.
Linus Company uses the percent of sales method to estimate uncollectibles Net credit sales for the current year amount to 130000 and management estimates 2 percent will be uncollectible Allowance for?
Uncollectable allowance = 130000 * 2% Uncollectable allowance = 2600
What is an example of sales Promotion?
A trade allowance , price-pack deals and point-of-purchase displays
What is the formula for calculating net account receivable?
Net Accounts Receivable is found by subtracting the "noncollectable" amount in AR from the balance. Also referred to sometimes as ADA (allowance for doubtful accounts).
How do you calculate net accounts receivable?
should accounts revceivable (net) bedeleted out Not sure what the first answer is saying, but net accounts receivable is total accounts receivable less allowance for doubtful accounts (accounts you think are not going to pay you)
Can your gross pay include shift allowance?
Yes because everything you earn is subject to tax, so what you get is the Net amount
