User Account

All Pages

How does lowering the estimate of doubtful accounts

Assignment Help Accounting Basics
Reference no: EM132753516

Question: Anita Brown is the manager of a wholesale food company. Her compensation, in part, is incentive-based. In other words, the higher the company income, the higher her incentive compensation. Each year, in an effort to influence her bonus, Anita makes several recommendations, concerning adjusting entries, to the company controller. One of her favorites is to ask the controller to reduce the estimate of doubtful accounts.

1. How does lowering the estimate of doubtful accounts affect the income statement and balance sheet?

2. Is there an ethical consideration in this case? If so, what is it?

3. Should Anita be permitted to weigh in on adjusting entries under these circumstances? Why or why not?

Reference no: EM132753516

Questions Cloud

Calculate the amount of cash investment by dd : CC admits DD as a partner in business. Accounts in the ledger for CC on November 30,2001, just before the admission of DD, show the following balances.
Describe the role that is associated with the status : Describe the role that is associated with the status - Describe a time when you experienced a conflict because of the demands of two different roles
How many units should waco produce during june : Waco's Widgets plans to sell 22,000 widgets, Waco keeps 10% of the next month's sales as ending inventory. How many units should Waco produce during June?
Which is correct concerning a budget : Which is correct concerning a budget? It is a written statement of managements' plans for a specified future time period. / It is required for all business
How does lowering the estimate of doubtful accounts : Anita Brown is the manager of a wholesale food company. Her compensation, in part, is incentive-based. In other words, the higher the company income.
Find the dollar amount of the fy cost of goods sold : Find the dollar amount of the FY 2018 cost of goods sold. Frederick Company's January 1, 2018 finished goods inventory was $67,000.
Why the hrm function is important to employee management : Explain why the HRM function is important to employee management and labor relations - Leadership Strategies for HR
What is the consolidated net income : Planet issued $10,000 of 8% bonds on January 1, 2019 at par. The bonds mature in 10 years and pay interest annually on December 31. Star purchased the bonds.
What are the key issues and risks of a project intends : What are the key issues and risks of a project intends to propose a special weekly edition of a real estate show that showcases high end real estate property?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd