If the Allowance for Doubtful Accounts Has a $1,000 Debit

question 193

Multiple Choice

If the Allowance for Doubtful Accounts has a $1,000 debit balance prior to making the end-of-period adjusting entry for bad debts using the aging of accounts receivable method,then it must mean that the:

• A)debit to Bad Debt Expense will be $1,000 more than the desired ending balance in the Allowance for Doubtful Accounts.
• B)debit to Bad Debt Expense will be $1,000 less than if the Allowance balance had been $0.
• C)direct write-off method was used.
• D)percentage of sales method was used.

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Definitions:

Extracellular Matrix

Nonliving chemical substances located between connective tissue cells.

Connective Tissue

Tissue type that supports, connects, or separates different types of tissues and organs in the body, with varieties including bone, fat, and blood.

Epithelial Tissue

Sheets of tightly packed cells that line organs and body cavities, serving as protection, secretion, and absorption.

Primary Tissue Types

The primary tissue types include epithelial, connective, muscle, and nervous tissues, which perform various functions and structures throughout the body.