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Accounts Receivables, Allowances for Uncollectable Debt, Bad Debt Expenses

Financial Accounting or Introductory Accounting is usually among the first courses business school students encounter in their BBA, MBA, or CPA programs. And within Financial Accounting or Introductory Accounting, accounts receivable and associated accounts, such as allowances for uncollectable accounts or bad debt expenses, write-offs, etc., are among the topics students encounter. These topics are […] Read more

When should I use the t-test vs. z-test (t distribution vs. z distribution)?

Which test should I use? Should I use the z-test or the t-test? Which distribution can I use: the z distribution or the t distribution? Can I use the t-test or the z test if the sample size is smaller than 30? Is it mandatory to use the z test if the sample size is more than 30 and is considered a large sample?

When to use Norm.Dist vs. Norm.Inv?

Norm.Dist is used when you want to find the probability of finding a value less than or equal to X. The inverse of the Norm.Dist is also useful. 1 – Norm.Dist is used when you want to find the probability of finding a MORE than or equal to X.

What cash flow value do use to calculate terminal value if you are using the perpetual growth method?

If you use the perpetual growth rate method to arrive at the terminal value, you will need a cash flow estimate. What cash flow value do use to calculate terminal value if you are using the perpetual growth method?

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