The Percent- Of- Sales Method of Computing Uncollectible Accounts Is

question 27

Multiple Choice

The percent- of- sales method of computing uncollectible accounts is used for:

• A)annual statements because it is easier than the aging method.
• B)annual statements because it is more accurate than the aging method.
• C)interim statements because it is easier than the aging method.
• D)interim statements because it is more accurate than the aging method.

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Definitions:

Energy Of Activation

The minimum amount of energy that reacting species must have in order to undergo a specified reaction.

Enzyme

Biological molecules (typically proteins) that significantly speed up the rate of virtually all of the chemical reactions that take place within cells.

Oxidized

Pertains to a process where a substance loses electrons or gains oxygen, often resulting in a change in physical and chemical properties.

FAD

Flavin adenine dinucleotide, a redox cofactor involved in several important reactions in metabolism. FAD can exist in a reduced (FADH2) and an oxidized state (FAD).