Explain what contra revenue accounts are and why they are used. Be sure to identify one example
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 28% (7 reviews)
Contra accounts are used to reduce the account they are contra to ...View the full answer
Answered By
Mary Boke
As an online tutor with over seven years of experience and a PhD in Education, I have had the opportunity to work with a wide range of students from diverse backgrounds. My experience in education has allowed me to develop a deep understanding of how students learn and the various approaches that can be used to facilitate their learning. I believe in creating a positive and inclusive learning environment that encourages students to ask questions and engage with the material. I work closely with my students to understand their individual learning styles, strengths, and challenges to tailor my approach accordingly. I also place a strong emphasis on building strong relationships with my students, which fosters trust and creates a supportive learning environment. Overall, my goal as an online tutor is to help students achieve their academic goals and develop a lifelong love of learning. I believe that education is a transformative experience that has the power to change lives, and I am committed to helping my students realize their full potential.
5.00+
4+ Reviews
22+ Question Solved
Related Book For
Financial Accounting Tools for Business Decision Making
ISBN: 978-1119368458
7th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
Question Posted:
Students also viewed these Cost Accounting questions
-
Contra revenue accounts are used for both sales discounts and sales returns and allowances. Explain the advantages of this approach.
-
Why do companies use a contra revenue account when recording sales returns?
-
Explain what loan covenants are and why they are used.
-
How many gallons of mercury (sg = 13.54) would weigh the same as 5 gal of castor oil, which has a specific weight of 59.69 lb/ft 3 ?
-
Palermo Wholesalers is preparing its merchandise purchases budget. Budgeted sales are $400,000 for April and $475,000 for May. Cost of goods sold is expected to be 60% of sales. The companys desired...
-
Suppose that A and B are events defined on a common sample space and that the following probabilities are known: P(A) = 0.3 P(B) = 0.4 and P (A/B) = 0.2 Find P (A or B).
-
a. Using algebra, establish an alternative expression \[b_{1}=\frac{\sum_{i=1}^{n} \text { weight }_{i} \times \text { slope }_{i}}{\sum_{i=1}^{n} \text { weight }_{i}} .\] Here, slope \(_{i}\) is...
-
A sphere of 25-mm diameter contains an embedded electrical heater. Calculate the power required to maintain the surface temperature at 94C when the sphere is exposed to a quiescent medium at 20C for:...
-
Below is an electro pneumatic system (see figure 3.). Please detail reactive maintenance that may be used if cylinder B fails to extend. Detail realistic possible faults for cylinder B failing to...
-
Based on the data from datavizcatalogue.com, a line graph is best at showing comparisons, relationships, compositions, or distributions? Name the best two.
-
Emily reviews the updated trial balance prepared in Chapter 3. She recalls from her introductory accounting class that there are some adjustments that need to be prepared. She gathers up as much...
-
Explain why sales taxes collected by a merchandiser from customers when goods are sold are not recorded as sales revenue.
-
Consider the binomial tree in Section 1.2.2. Suppose that the probabilities of moving up and down on the first day equal 1/2, but on the second day, the price moves up with a probability of p 1 if on...
-
The transportation matrix is given below: A B C D Supply 4 10 5 5 300 3 12 8 8 100 29 44 200 0 7 7 7 100 X Y Z T Demand 100 150 250 200 Solve the transport problem using the north-west corner method,...
-
Imagine it is January, 2022, and you hold 10,000 shares of Apple Inc. (ticker symbol: AAPL) and you are considering entering into a covered call writing strategy. You gather the following...
-
1- Response time is an important performance measure when searching on-line (for example, at Hotels.com or TatilSepeti.com) if a hotel is available for a certain day. It is defined as the length of...
-
Consider a European put option on a non-dividend paying stock. The price for this put option has a lower bound: X 2 mar (0. (1+277-5) So R) Po 0, Po is put price today. X is the strike price, 7 is...
-
Argue that 2 x 2 matrices of rank 1 is a manifold. Denote this space by M(2, 2), i.e. we consider M(2, 2) to be a subspace of M2,2 (R) = = R4.
-
Using the Country Snapshots data file, plot per capita GDP over time for two countries. Drawing upon Wikipedia and/or other data sources, write a paragraph for each country, discussing the general...
-
The swap spread is the difference between the swap rate and the equivalent-maturity Treasury bond yield. Explain why a widening swap spread may be a signal of deteriorating economic conditions. Plot...
-
The cash records of Lejeune Inc. show the following situations: Deposits in transit: 1. The June 30 bank reconciliation indicated that deposits in transit total $2,000. During July, the general...
-
The following information is for Neopolitan Ltd. in July: 1. Cash balance per bank, July 31, $8,833 2. Cash balance per books, July 31, $7,190 3. Bank service charge, $24 4. Deposits in transit,...
-
A new accountant at La Maison Lte is trying to identify which of the following amounts should be reported as cash and cash equivalents in the April 30 year-end statement of financial position: 1....
-
What percentage of the American opportunity tax credit may be refundable?
-
You want to buy a house. You have $50,000 saved for the down payment and can pay $2,000 per month on the mortgage. The 30-year mortgage interest rate is 9% per year (equal to 0.75% per month). What...
-
Compute the Social Security and Medicare for Paul, Alex, and Andrea. The rates are 6 . 2 % for Social Security and 1 . 4 5 % for Medicare. Assume the Social Security limit is $ 1 4 2 , 8 0 0 and the...
Study smarter with the SolutionInn App