What Type of Account Is an Allowance for Doubtful Accounts

question 26

Multiple Choice

What type of account is an Allowance for Doubtful Accounts?

• A) Asset
• B) Contra-asset
• C) Revenue
• D) Contra-revenue

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Definitions:

Physically Delivered

A term used in derivative markets indicating that upon contract expiration, the actual underlying asset is delivered rather than a cash settlement.

Identification

the act of determining or verifying the identity of a person or object, often through documents like ID cards or digital means.

Shipped

Refers to goods that have been transported from one location to another, usually through the use of a carrier or logistical service.

Specific Goods

Goods that are identified and agreed upon at the time a contract of sale is made.