Smart Art Is a New Establishment

question 77

Multiple Choice

Smart Art is a new establishment.During the first year,there were credit sales of $40,000 and collections of credit sales of $35,000.One account for $650 was written off.The company decided to use the percentage of sales method to account for bad debts expense and decided to use a factor of 3% for their year-end adjustment of bad debts expense.At the end of the year,the balance of bad debts expense would be:

• A)$550
• B)$650
• C)$2250
• D)$1200

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Definitions:

Movie Production

The process of creating a film, from conceptualization and scripting to filming, editing, and distribution.

Capital

Assets or resources that an individual or entity owns or controls with the expectation that it will provide future benefit or value.

Infrastructure

The fundamental facilities and systems serving a country, city, or area, including transportation and communication systems, utilities, and public institutions.

Cultural Imperialism

The imposition or adoption of the culture of a dominant country over a less dominant one, often leading to the erosion of indigenous cultures and identities.