Accounts Receivable Has a Balance of $5 000 and the Allowance

question 54

Multiple Choice

Accounts receivable has a balance of $5 000 and the Allowance for doubtful debts has a credit balance of $440. What is Net accounts receivable after a $160 account receivable is written off?

• A)$5 000
• B)$4 400
• C)$4 720
• D)$4 560

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Definitions:

Economic Conditions

The state of the economy at a given time, which includes factors like inflation, unemployment rates, and GDP growth.

Severe Recession

An intense period of economic decline characterized by significant reductions in GDP, high unemployment, and contracting business activities.

Economic Condition

The state of an economy at a given time, including factors such as growth rate, inflation, employment levels, and overall economic health.

Unemployment Rate

The percentage of the labor force that is jobless and actively seeking employment.