Using the Following Information: During 2015, Sales on Account

question 100

Multiple Choice

Using the following information: During 2015, sales on account were $145,000 and collections on account were $100,000. Also during 2015, 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. The change in the cash realizable value from the balance at 12/31/14 to 12/31/15 was a

• A)$36,000 increase.
• B)$41,000 increase.
• C)$44,000 increase.
• D)$45,000 increase.

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Definitions:

Stylomandibular Ligament

A fibrous band of the cervical fascia that extends from the styloid process of the temporal bone to the angle of the mandible, acting in the limitation of excessive jaw opening.

Zygomatic Arch

The bone structure that forms the prominence of the cheek, extending from the zygomatic process of the temporal bone to the zygomatic bone.

Temporomandibular Joint

A hinge joint that connects the lower jaw (mandible) to the temporal bone of the skull, facilitating mouth movement.

Sagittal Suture

The fibrous joint between the two parietal bones of the skull, running from the front to the back of the head.