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Math Help - Assorted questions which look like assessed work

  1. #1
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    Dec 2011
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    Assorted questions which look like assessed work

    Q1.
    We have 800 invoices in AR that are 60 days or older.
    How many AR staff do we need? State your assumptions and show your math.
    Your reasoning is the important point, not whether your assumptions conform with our circumstances.


    Q2.We sell a subscription agreement to a client. The contract value for the subscription is $200,000. The client pays immediately. The subscription service is made available to the client immediately. The subscription has 100 sections of material on day 1 and we will add a new section of material each month of the 12 month contract. There are at least three ways to account for this income in the sales journal.
    What are they and what do you consider to be the most compliant with GAAP?


    Questions 3 through 7 deleted by moderator, as was begging header

    Please present your answers numerically, showing your work.

    Last edited by CaptainBlack; December 6th 2011 at 07:10 AM.
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