At the Beginning of 2017, Cyrus Corp

question 26

Multiple Choice

At the beginning of 2017, Cyrus Corp.'s allowance for doubtful accounts is $12,500.
During 2017, $4,250 was written off as uncollectible. At December 31, the company used an aging schedule of accounts receivable and determined that $10,530 of the accounts receivable would probably be uncollectible. What would be the bad debt expense that should be reported on Cyrus's 2017 income statement?

• A)$5,720
• B)$26,780
• C)$2,280
• D)$18,280

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Definitions:

Home-ownership

The state of owning a home or apartment, which is often a key aspect of personal wealth and stability.

Housing Stock

The total quantity of residential buildings available in a particular area or market, including houses, apartments, and other dwellings.

Urban Neighborhoods

Densely populated areas within a city characterized by closely situated housing and other buildings, often having distinct cultural or social identities.

Hypersegregation

An extreme form of racial segregation in urban areas where minority groups are isolated from the majority in multiple aspects of daily life.