Molten Manufacturing Collects $350 on an Account That Had Been

question 3

Multiple Choice

Molten Manufacturing collects $350 on an account that had been directly written off in the previous year in the amount of $630. The journal entry to record the transaction would include a:

• A) $350 credit to Bad Debts Expense.
• B) $350 credit to Bad Debts Recovered.
• C) $630 debit to Accounts Receivable.
• D) $630 credit to Accounts Receivable.

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Definitions:

Ratifies

To formally approve or confirm something, often an agreement or treaty, making it officially valid.

Authority

The capability or entitlement to direct, determine outcomes, and mandate adherence.

Contract

A contract recognized and upheld by law, which involves two or more parties entering into an agreement with legal obligations.

Power of Attorney

A legal document that allows one person to act on another's behalf, often in financial or health-related matters.