Today, Almost One-Quarter of the World's Total Economic Output Is

question 33

Multiple Choice

Today, almost one-quarter of the world's total economic output is sold in a country other than the country in which it was produced. The U.S. currently exports about _________ percent of the value of its GDP and imports about _________ percent.

• A) 5, 10
• B) 13, 16
• C) 1, 2
• D) 3, 6

---

Definitions:

Allowance Account

A contra-asset account used to create an allowance for doubtful accounts, representing receivables that may not be collected.

Accounts Receivable

Amounts owed to a company by customers for goods or services provided on credit, which are expected to be collected in cash in the future.

Allowance for Doubtful Accounts

An allowance for doubtful accounts is a contra-asset account that reduces the total receivables reported to reflect the amount expected to be uncollectible.

Bad Debts Expense

The cost associated with accounts receivable that a company is unable to collect, recognized as an expense.