Lithotech, Inc

question 124

Multiple Choice

Lithotech, Inc. had net sales in 2018 of $800,000. At December 31, 2018, before adjusting entries, the balances in selected accounts were: accounts receivable $126,000 debit, and allowance for doubtful accounts $1,400 debit. Lithotech estimates that 1% of its receivables will prove to be uncollectible. What is the net realizable value of the receivables reported on the statement of financial position at December 31, 2018 after adjusting entries?

• A) $124,740
• B) $126,140
• C) $123,340
• D) $126,000

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Definitions:

Assembly Methods

The various techniques and processes used in assembling components into a complete product.

Assembly Time

The duration required to put together components or parts in the manufacturing process.

Null Hypothesis

A statement in statistics that proposes there is no significant difference or effect.

Wire Resistance

The opposition to the flow of electric current through a wire, which depends on the wire's material, length, and thickness.