The Amount of Uncollectible Accounts at the End of the Year

question 215

Multiple Choice

The amount of uncollectible accounts at the end of the year is estimated to be $25,000,using the aging of accounts receivable method.The balance in the Allowance of Doubtful Accounts account is an $8,000 credit before adjustment.What is the adjusted balance of the Allowance for Doubtful Accounts at the end of the year?

• A)$8,000
• B)$17,000
• C)$25,000
• D)$33,000

---

Definitions:

States of Nature

Represents possible outcomes in decision-making under uncertainty, which cannot be controlled by the decision-maker.

Decision Tree

A graphical representation of possible solutions to a decision based on various conditions, helping in the analysis of decision making.

Gas Prices

The cost per unit of gasoline, typically expressed per liter or gallon, influenced by factors such as crude oil prices, production costs, and taxes.

Pickup Truck

A pickup truck is a light-duty vehicle with an enclosed cab and an open cargo area with low sides and tailgate.