Chapter 8 Flashcards
1
Q
What is accounts receivable written as on the classified balance sheet?
A
On the classified balance sheet, AR is a current asset.
2
Q
How do you calculate the net realizable value? What is the net realizable value?
A
You can calculate the net realizable value by subtracting AFDA’s uncollectibles from the accounts receivable. The net realizable value is the amount that you expect to get back from your customers.
