The General Ledger Account for Accounts Receivable Shows a Debit

question 3

Essay

The general ledger account for Accounts Receivable shows a debit balance of $50,000.Allowance for Uncollectible Accounts has a credit balance of $3,000.Net sales for the year were $500,000.In the past,3 percent of sales have proved uncollectible,and an aging of accounts receivable resulted in an estimate of $20,000 of uncollectible accounts receivable.
Using the percentage of net sales method,the Allowance for Uncollectible Accounts balance (after adjustment)would be
a.$15,000.
b.$20,000.
c.$18,000.
d.$12,000.

Identify and apply various strategic tools and analyses, such as SWOT analysis and product-market growth analysis.

Recognize the importance of aligning marketing strategies with core competencies, environmental opportunities, and long-term visions.

Understand the role of differentiation and business strategy in the success of companies like IKEA.

Comprehend how strategic decisions drive the selection of target markets and meet customer needs.

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Definitions:

Condorcet Paradox

A situation in social choice theory where collective preferences can be cyclic (not transitive) despite the transitive preferences of individual voters.

Majority Rule

A decision-making principle where the preferences or decisions supported by more than half of the participants are adopted.

Transitive Preferences

A condition in decision-making where if an individual prefers option A over option B and prefers option B over option C, then the individual also prefers option A over option C.

Median voter theorem

A theory suggesting that the outcome of a majority rule voting system will represent the preferences of the median voter.