Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. blackfly ltd. had sales of $500,000 in 2007, all m

Blackfly Ltd. had sales of $500,000 in 2007, all made on credit terms. The company...

90.2K

Verified Solution

Question

Accounting

Blackfly Ltd. had sales of $500,000 in 2007, all made on credit terms. The company collected $25,000 from credit sales made in 2006, and at the end of 2007 its customers owed the company $50,000. If its accounting policy is to provide for bad debts on the basis of 1% of sales, the bad debt expense would be *

$10,000

$7,500

$5,500

$5,000

none of the above

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Geometry
1.2K views

Find the area of a rectangle with base of 2 yd and a height of...

Geometry
1.2K views

11 In rectangle RECT above mzCRE 3x and TRC 5x 10 What is the m...

Biology
1.2K views

When Mendel crossed tall and short parental plantsthe first generation were all tall.the first generation...

Physics
1.2K views

A 4 F capacitor is connected to another 8 F capacitor The combination charged to...

Basic Math
1.2K views

A ball is dropped from a height of 10 feet Each time it hits the...

Accounting
1.2K views

Use the above information to determine cash flows from financing activities. (Amounts to be deducted...

Accounting
1.2K views

In a board meeting, The Board Chairperson of Fijian Holdings interrupts the CEO and says...

Accounting
1.2K views

Two investment centers at Marshman Corporation have the following current-year income and asset data: The...

Accounting
1.2K views

A sale was made for $22,000 and the sales tax rate is 6%. What is...

Accounting
1.2K views

Sheridan Logging and Lumber Company owns 3,020 acres of timberland on the north side of...

Accounting
1.2K views

HotFoot Shoes would like to maintain its cash account at a minimum level of $44,000,...

Accounting
1.2K views

Mary Company began the year with $820,000 in assets and $60,000 in liabilities. During the...