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Please answer a-c I will rate your answer! Thank you! Adjusting Allowance for Doubtful Accounts and Bad Debts Expense Merck & Company reported the following
Please answer a-c I will rate your answer! Thank you!
Adjusting Allowance for Doubtful Accounts and Bad Debts Expense Merck \& Company reported the following from its 2019 financial statements. a. Compute accounts receivable gross for each year. b. Determine the percentage of allowance to gross account receivables for each year. Round answers to two decimal places (ex: 0.02345=2.35% ). c. Assume that we want to reformulate the balance sheet and income statement to reflect a constant percentage of allowance to gross accounts receivables for each year. Compute the four-year average and then reformulate the balance sheet and income statements for each of the four years. Follow the process shown in Analyst Adjustments 5.2 and assume a tax rate of 22% in all three years. Four- year average of percentage of allowance to gross accounts receivables. Round answer to two decimal places (ex: 0.02345=2.35%) 16 Reformulate the balance sheet and income statements. - Use rounded answer above for computations, then round answers to nearest whole number. - Use negative signs with answers to indicate the adiustment decreases an accountStep by Step Solution
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