The unadjusted trial balance at year-end for a company that uses the percent of receivables method to determine its bad debts expense reports the following selected amounts: accounts receivable $ 437,000 debit allowance for doubtful accounts 1,270 debit net sales 2,120,000 credit all sales are made on credit. based on past experience, the company estimates 2.5% of ending account receivable to be uncollectible. what adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?
debit bad debts expense $15,300, credit allowance for doubtful accounts $15,300.
debit bad debts expense $10,925, credit allowance for doubtful accounts $10,925.
debit bad debts expense $9,655; credit allowance for doubtful accounts $9,655.
debit bad debts expense $5,300, credit allowance for doubtful accounts $5,300

Magic realm, inc., has developed a new fantasy board game. the company sold 15,000 games last year at a selling price of $20 per game. fixed expenses associated with the game total $182,000 per year, and variable expenses are $6 per game. production of the game is entrusted to a printing contractor. variable expenses consist mostly of payments to this contractor. required: 1-a. prepare a contribution format income statement for the game last year.1-b. compute the degree of operating leverage.2. management is confident that the company can sell 58,880 games next year (an increase of 12,880 games, or 28%, over last year). given this assumption: a. what is the expected percentage increase in net operating income for next year? b. what is the expected amount of net operating income for next year? (do not prepare an income statement; use the degree of operating leverage to compute your answer.)

Providing a great shopping experience to customers is one of the important objectives of purple fashions inc., a clothing store. to achieve this objective, the company has a team of committed customer service professionals whose job is to ensure that customers get exactly what they want. this scenario illustrates that purple fashions is trying to achieve

Most economists report the elasticity of demand asa. the absolute value of the actual number. b. a negative number, since price and quantity demanded move in opposite directions. c. a percentage, since both the numerator and denominator are percentages. d. a dollar amount, since we are measuring the change in price.