James Is in the Business of Debt Collection

question 55

True/False

James is in the business of debt collection. He purchased a $20,000 account receivable from Green Corporation for $15,000. During the year, James collected $17,000 in final settlement of the account. James can take a $2,000 bad debt deduction in the current year.

---

Definitions:

Presenting Answers

The process of delivering responses to questions or information in a structured and understandable manner, often in an educational, professional, or public speaking context.

Research Project

A structured academic or professional investigation aimed at discovering, interpreting, or developing new knowledge.

Citations

References to the source of information or ideas, usually listed at the end of scholarly work.

Scholarly Journals

Peer-reviewed publications that present academic research and expert analysis on specific subjects.