Using its aging of accounts receivable, Age Old, Inc. estimates that $90,000 of its $4,000,000 of accounts receivable will be uncollectible. Prior to making its adjusting entry, the unadjusted Allowance for Doubtful Accounts has a credit balance of $1,000. After the adjustment, the:
A. Bad Debt Expense will equal $90,000.
B. Allowance for Doubtful Accounts will have a $91,000 credit balance.
C. Allowance for Doubtful Accounts will have a $90,000 credit balance.
D. Allowance for Doubtful Accounts will have an $89,000 credit balance.
Answer: C
You might also like to view...
Agitation-related emotions result from feeling
A. anxious, disappointed, or frustrated. B. fearful, anxious, or disappointed. C. anxious, fearful, or threatened. D. threatened, frustrated, or dissatisfied.
The process capability index ______.
A. shows whether a process is capable or not B. may need to be supplemented by the Pareto chart C. is similar to the cause-and-effect diagram D. shows the costs of noncompliance with government regulations
The relationship between two or more tasks that requires certain tasks to be done before others is known as ______.
A. a precedence relationship B. a Muther’s grid relationship C. points of indifference D. an assembly relationship
Jacob’s manager asks him to organize a blood drive for the organization. The manager tells Jacob that if he accepts the assignment, he will be awarded Employee of the Month. Jacob has organized blood drives in the past and knows how much work is involved. He does not doubt that his manager can deliver on the promise of the award. However, Jacob has always thought that the award was silly. According to expectancy theory, Jacob is unmotivated to accept the assignment because _________ is lacking.
A. valence B. instrumentality C. expectancy D. significance E. confidence