On January 1, 2013, Murphy Printing Company's Allowance for Doubtful

question 50

Multiple Choice

On January 1, 2013, Murphy Printing Company's allowance for doubtful accounts had a credit balance of $6,000.Sales revenue for 2013 was $1,000,000, of which 80% was on credit.Historical data indicates that 3% of gross credit sales prove uncollectible.What should the balance in the allowance account be after the adjusting entry for doubtful accounts is made?

• A)$18,000 credit
• B)$24,000 credit
• C)$30,000 credit
• D)$18,000 debit

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Definitions:

Incongruent Identity

A state where there is a mismatch between an individual's self-perception and the reality of their experiences or behaviors, leading to feelings of dissonance and confusion.

Positive Identity

A sense of self that is characterized by positive self-regard and a cohesive sense of personal worth.

Confusing Identity

A state of uncertainty or conflict about one's sense of self, often experienced during periods of significant change or development.

Fidelity

The degree of accuracy or loyalty to an original source or to personal beliefs and values; in developmental psychology, Erikson defined it as the ability to maintain loyalties and values despite contradictions.