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Question - The majority of sales conducted by ABC Inc. are in cash, very few customers are offered credit terms. Historically, less than 1% of year-end trade accounts receivable is not collected. There have never been any bad debts. At year end, ABC Inc. adjusts the allowance for doubtful accounts to be 1% of the trade receivables. The following are the account balances from the unadjusted trial balance:
Accounts Receivable - trade Dr $24,500
Allowance for doubtful accounts Cr $85
What is the required adjusting entry on December 31, 2014?
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: - Explain the goals and uses of special journals.
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