Which of the Following Is an Accounting Procedure That (1)estimates

question 104

Multiple Choice

Which of the following is an accounting procedure that (1) estimates and reports bad debts expense from credit sales during the period the sales are recorded,and (2) reports accounts receivable at the estimated amount of cash to be collected?

• A)Allowance method of accounting for bad debts.
• B)Aging of notes receivable.
• C)Adjustment method for uncollectible debts.
• D)Direct write-off method of accounting for bad debts.
• E)Cash basis method of accounting for bad debts.

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Definitions:

Utilitarian Outcome

A result or consequence of an action that is judged solely based on its ability to provide the greatest good for the greatest number of people.

Ethical

Pertaining to or dealing with morals or the principles of morality; conforming to accepted standards of social or professional behavior.

Power-oriented Characteristics

Traits or behaviors displayed by individuals that focus on gaining or maintaining influence or control over others.

David McClelland

A psychologist known for his work on motivation theory, specifically related to the needs for achievement, power, and affiliation.