Using the Following Information: During 2018, Sales on Account

question 168

Multiple Choice

Using the following information: During 2018, sales on account were $145,000 and collections on account were $100,000. Also during 2018, the company wrote off $4,000 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that uncollectible accounts should be estimated at $40,000. Bad debt expense for 2018 is

• A) $4,000.
• B) $5,000.
• C) $9,000
• D) $40,000.

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Definitions:

Equalizing-beam

A suspension component designed to evenly distribute load and shock across multiple axles for smoother vehicle operation.

Torque Rods

Longitudinal rods in truck and bus suspension systems that help manage the alignment of the axle, prevent excessive movement, and assist in absorbing road shock.

Centerbolts

Fasteners used to secure leaf springs in a suspension system, aligning the springs with the axle.

Fiber-composite Leaf Springs

Vehicle suspension elements made from fiber-reinforced composite materials, offering durability and weight savings over metal springs.