Which of the following is an accurate description of the allowance for doubtful accounts? liability account expense account contra account revenue account
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Which of the following is an accurate description of the allowance for doubtful accounts?
liability account
expense account
contra account
revenue account
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- Which method delays recognition of bad debt until the specific customer accounts receivable is identified? A. income statement method B. balance sheet method C. direct write-off method D. allowance methodWhich one of the following best describes the allowance for doubtful accounts? a.Statement of earnings account b.Liability account c.Contra account d.Cash flow accountwhy should the allowance for doubtful account and the valuation and qualifying accounts schedule be analyzed?
- Which of the following best describes the proper presentation of accounts receivable in the financial statements?a. Accounts Receivable plus the Allowance for DoubtfulAccounts in the asset section of the balance sheet.b. Accounts Receivable in the asset section of the balancesheet and the Allowance for Doubtful Accounts in theexpense section of the income statement.c. Accounts Receivable less Bad Debt Expense in theasset section of the balance sheet.d. Accounts Receivable less the Allowance for DoubtfulAccounts in the asset section of the balance sheet.Indicate whether each statement best describes the allowance (A) method or the direct write-off (DW)method. Does not predict bad debts expense.Which of the following accounts would be classified as a current liability on a classified balance sheet? Multiple Choice Dividends Deferred Revenue Wages Expense Accounts Receivable
- Why is it necessary to account for dubious accounts in receivables accounting? Is it really necessary? Give an explanation for your response. Please explain exact answerWhy do we need to provide allowance for doubtful accounts in accounting for receivables? Is it necessary? Explain your answer.What are the disclosure requirements for a correction of an accounting error?
- what are the most significant differences between uncollectible account expense and allowance for uncollectible accounts?Which of the following would not overstate current-period net income?a. Capitalizing an expenditure that should be expensed.b. Failing to record a liability as an expense.c. Failing to record a check paying an item in Vouchers Payable.d. All of the above would overstate net income.Explain any possible differences between accounting for an account receivable factored with recourse compared with one factored without recourse.