Digital Corporation
the Following Data Concern Digital Corporation for 2012

question 40

Multiple Choice

Digital Corporation
The following data concern Digital Corporation for 2012.
$\begin{array}{ll}\text { Credit sales during the year } & \$ 2,400,000 \\\text { Accounts receivable--December } 31,2012 & 410,000 \\\text { Allowance for bad debts--December } 31,2012 & 55,000 \\\text { Bad debt expense for the vear } & 35,000\end{array}$
-Refer to the information provided for Digital Corporation. What are the effects on the accounting equation when Digital writes off a bad debt under the allowance method?

• A) Assets decrease and equity increase
• B) Assets and equity decrease
• C) Assets increase and equity decreases
• D) No effect on overall assets or equity

Recognize the importance and impact of social media tools in managerial practices.

Identify key strategic management tools such as SWOT analysis and their components.

Comprehend the role of strategic consensus and implementation in business success.

Appreciate the significance of rapid production, delivery, and continuous cost reduction in modern businesses.

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Definitions:

Knowledge Communities

Groups of people who share an interest, passion, or concern about a specific area of knowledge, and who collaborate over an extended period to share information, solve problems, or innovate.

Enterprise Portals

Enterprise Portals are web-based platforms that provide employees a personalized and integrated access point to information, applications, and services relevant to their roles.

Specialized Knowledge

Expertise or deep understanding in a specific field or area, typically acquired through education or experience.

Self-Service

Systems or processes designed to allow customers or users to complete tasks on their own, often utilizing technology to facilitate transactions without direct service staff support.