Explain why the percentage-of-receivables method is referred to as the balance sheet method and the percentage-of-credit-sales method is referred to as the income statement method.

Q: What is the difference between account receivable and account payable ?

A: Diffecrence between the accounts receivable an accounts payable are as follows:

Q: Please help with the calculation of Net profit margin, Gross profit margin, Current ratio, Acid test…

A: Net profit margin = Net profit (loss) / Sales Revenue = - 1410 / 5600 = - 0.25   Given Net income =…

Q: Explain how the accounting equation organizes financial information using T-accounts and debits and…

A: Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: what is the estimate of uncollectible accounts receivable based on the percentage of sales

A: Account receivable means where goods has been sold on credit and amount has not been received.…

Q: Explain the impact of the collection of these receivables on the Financial Statements.

A: Introduction:- Financial statement gives clear picture of financial position of the company.…

Q: How do I find sales on account from a income statement or balance sheet

A: How do I find sales on account from a income statement or balance sheetSales on account can be…

Q: What is the difference between accounts payable andaccounts receivable?

A: Purchases means amount or value of goods that is purchased by the business. Cash for the purchases…

Q: Define receivables & explain its the classification in the statement of financial position

A: Current asset: It can be defined as an asset that is having the potential to be converted into money…

Q: (a)Explain, using practical example the effect of accruals figures on the preparation of a…

A: "Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: a. Show the journal entry to record the uncollectible accounts. b. How much will the balance sheet…

A: a) Journal Entry

Q: What's the difference between accounts payable and receivable?

A: Accounts Payable is the current liability for the business and Accounts Receivable is a current…

Q: What is the accounts receivable turnover, and what typeof information does it provide?

A: Ratio analysis, horizontal analysis and vertical analysis are the analytical tools used by the…

Q: We report accounts receivable in the balance sheet at the amount expected to be collected. Explain…

A: Account receivable: The amount of money to be received by a company for the sale of goods and…

Q: By the percent of sales method how determine the amount of the adjusted balance of accounts…

A:

Q: Using the following transactions what is the total debits and credits?

A: Journal entries refer to recording and classyfing business transactions into books of accounts…

Q: Explain how to calculate accounts receivable turnover ratio.

A: Accounts receivable turnover: Accounts receivable turnover is a liquidity measure of accounts…

Q: Distinguish between accounts receivable and account payable.

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: How does the rule of debit and credit relative to accounting equation?

A: Accounting equation:   It is a mathematical expression that presented all assets of the firm are…

Q: What’s the difference between accounts payable and receivable?

A: If you use the accrual accounting system, you will have to deal with accounts receivable and…

Q: What is the:  Accounts Receivable   =                                     =     Accounts…

A: Accounts Receivable Accounts receivable which is treated as one of the main source of liquidity…

Q: Why is the amount of the Income obtained from the Income statement extended to the balance sheet…

A: The income statement is one of a company’s core financial statements that are prepared to find out…

Q: What does the accounts receivable turnover ratio measure, and how is it calculated?

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…

Q: What account is the contra account of Account Receivable?

A: Contra asset account is shown as deduction from the assets in the balance sheet. Increase in Contra…

Q: When using the allowance method, how are accounts receivable shown on the balance sheet?

A:

Q: How do you calculate Accounts Receivable (AR) Turnover and the Number of Days' Sales in Receivables?…

A:

Q: The accounts receivable turnover and inventory turnover are used to analyze O long-term solvency. O…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: How to determine the adjusted balance of Accounts Receivable by usind the analysis of receivables…

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: What factors affect accounts payable turnover ratio?

A: Accounts Payable ratio is calculated by dividing total supplier purchases by the average accounts…

Q: Indicate whether each statement best describes the allowance (A) method or the direct write-off…

A: Under the direct write off method the bad debts is treated as charged to expenses when it is clear…

Q: Define the term Accounts Receivable Turnover?

A: Accounts receivable turnover: This is the ratio which analyzes the number of times accounts…

Q: Reflect upon accounting  as debits and credits information system

A: Accounting is a method of recording business transactions so as to ascertain the financial positions…

Q: The income statement line gross profit will appear on which income statement format? Select one: a.…

A: 1. Receipt and Payment A/c: Receipt and payment A/c is prepared by non profit organization, Which…

Q: Explain how accounts receivable are presented in the financial statements.

A: Introduction: Current Assets: Assets which are easily convertible in to cash with in a short period…

Q: Accounting Elements that affect receivables - discount, returns and valuations

A: Accounting elements that affect Receivables, discount,returns and valuations are credit…

Q: Which method, the percentage-of-receivables method or the percentage-of-credit-sales method, is…

A:

Q: What are the basic problems that occur in the valuationof accounts receivable?

A:

Q: The following table summarizes the rules of debit and credit. For each of the items A through L,…

A: Accounts are classified as: Assets accounts Liabilities accounts Owner's capital accounts Expenses…

Q: A credit balance on accruals account indicates?

A:

Q: When a receivable is written off under the allowance method, how does it affect the net realizable…

A: Allowance method: It is a method for accounting bad debt expense, where uncollectible accounts…