Examlex
The term convergent evolution is most applicable to which of the following characteristics?
Notes Payable
A liability on a balance sheet representing promissory notes that a company must pay in the future.
Bad Debts Expense
The operating expense account that estimates the amount of credit sales that will probably not be collectible in a given accounting period when the Allowance method is used. For the direct write-off method, this account would be the actual amount written off.
Allowance for Doubtful Accounts
A contra-asset account used to estimate the portion of accounts receivable that may not be collected.
Interest Income
Income earned from investments and lending activities, including accounts receivable.
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