lopezap1
Jul 17, 2012, 07:30 PM
Using the aging-of-receivables method to estimate uncollectibles, Avidity Corporation estimates that
$3,550 of its accounts receivable will be uncollectible. Prior to adjustment, the Allowance for
Uncollectible Accounts has a credit balance of $800. Uncollectible account expense to be reported on the income statement is:
A) $4,350.
B) $3,550.
C) $2,750.
D) $800.
I think answer is C
$3,550 of its accounts receivable will be uncollectible. Prior to adjustment, the Allowance for
Uncollectible Accounts has a credit balance of $800. Uncollectible account expense to be reported on the income statement is:
A) $4,350.
B) $3,550.
C) $2,750.
D) $800.
I think answer is C