URGENT - 8 Multiple Choice accounting

Question 12 of 50     (worth 4 points)

Please refer to the following trial balance. 

How much are Net sales revenues? 

	A.	$155,000
	B.	$160,000
	C.	$27,000
	D.	$75,000

Question 17 of 50     (worth 4 points)

Please refer to the following data:

Using the “rule of thumb” guidelines, what conclusion could you draw?

	A.	This business faces a liquidity problem, and may have trouble paying off its current liabilities with its current assets.
	B.	This business has does not have enough total assets to meet its total obligations.
	C.	This business has a very good current ratio, but the debt ratio indicates long-term liquidity problems.
	D.	This business should have no difficulties paying off its liabilities.

Question 30 of 50     (worth 4 points)

Please refer to the following information and calculate the current ratio: 

	A.	0.25
	B.	1.89
	C.	0.53
	D.	4.02    

Question 31 of 50     (worth 4 points)

Please refer to the following information and compute the debt ratio: 

	A.	1.83
	B.	2.37
	C.	0.40
	D.	0.42    

Question 32 of 50     (worth 4 points)

Which debt ratio would indicate the BEST overall ability of an organization to pay its debts?

	A.	25%
	B.	40%
	C.	60%
	D.	130%

Question 42 of 50     (worth 4 points)

At January 1, Davidson Services has the following balances: 

During the year, Davidson has $104,000 of credit sales, collections of $100,000, and write-offs of $1,400. Davidson records Uncollectible account expense at the end of the year using the percent-of-sales method, and applies a rate of 1.1%, based on past history.

Prior to the year-end entry to adjust the Uncollectible accounts expense, what is the balance in the Allowance for uncollectible accounts?

	A.	Debit of $1,400
	B.	Credit of $800
	C.	Debit of $600
	D.	Credit of $2,200

Question 46 of 50     (worth 4 points)

The following information is from the 2013 records of Armadillo Camera Shop: 

Uncollectible accounts expense is estimated by the percent-of-sales method.  Management estimates that 3% of net credit sales will be uncollectible.  Which of the following will be the amount of net Accounts receivable after adjustment?  

	A.	$16,550
	B.	$17,750
	C.	$17,150
	D.	$13,000

Question 50 of 50     (worth 4 points)

At January 1, Davidson Services has the following balances:

During the year, Davidson has $104,000 of credit sales, collections of $100,000, and write-offs of $1,400.

Davidson records Uncollectible account expense at the end of the year using the percent-of-sales method, and applies a rate of 1.1%, based on past history.

After the year-end entry to adjust the Uncollectible accounts expense, what is the ending balance in the Allowance for uncollectible accounts?

	A.	Debit of $1,400
	B.	Credit of $1,944
	C.	Debit of $1,144
	D.	Credit of $544