Splashy Fish Store Allows Qualified Customers to Purchase Items on Credit

question 12

Multiple Choice

Splashy Fish Store allows qualified customers to purchase items on credit. During 2015, Lisa, the owner of the store, determines that $3,500 of accounts receivable are not collectible. Which of the following statements is true with respect to Splashy Fish Store's deduction for the uncollectible accounts receivable? ​

• A)Splashy is not allowed a deduction for the uncollectible accounts if the income arising from the accounts has not been previously included in taxable income.
• B)Any deduction for the uncollectible accounts receivable will be treated as a short-term capital loss.
• C)Only $3,000 of the uncollectible accounts receivable may be deducted in the current year.
• D)All of the above statements are true.
• E)Two of the above statements are true.

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Definitions:

Make-Table Query

A type of query in database applications used to create a new table from the results of a select query.

Parameter Query

A type of database query that requires the user to provide one or more criteria values upon which the search is based, making the query flexible and interactive.

Update Query

A command in database management systems used to modify existing records in the database tables based on specified criteria.

Exclamation Point

A punctuation mark used to express strong feelings or to indicate emphasis.