UNit 7 Flashcards
1
Q
reports accounts receivable on the balance sheet at the
estimated amount of cash to be collected
A
Allowance method
2
Q
It records estimated bad debts expense in the period when
the related sales are recorded
A
Allowance method
3
Q
Recording Bad Debts Expense
A
BDE /Debit
AFDA/ Credit
4
Q
Credit card expense
A
Cash/ debit
Credit card expense/ debit
Sales / Credit
5
Q
Balnce sheet presentateion
A
Acccounts recievable
Less AFDA
6
Q
TechCom has determined that J. Kent’s $520 account is
uncollectible .Wriet off allowance methof
A
Afda /Debit
Accounts recievable /Credit
7
Q
Receivables and income temporally overstated
Bad debt expense not matched with sales
A
Direct writeoff method
8
Q
Cash later recieved under allowance method
A
Acct recievable Debit
Afda/ Credit
Cash debit
Accounts recievabel/credit
