The Text Refers to a Study by Pietrzak, Goldstein, Southwick

question 52

Multiple Choice

The text refers to a study by Pietrzak, Goldstein, Southwick, and Grant (2011) that asked participants with and without posttraumatic stress disorder (PTSD) to identify the "worst trauma they had ever experienced." Based on this study, who is most likely to have named the event that caused the highest amount of trauma?

• A) Yanni, who does not have PTSD and watched many hours of television coverage of the September 11, 2001, attacks on the World Trade Center
• B) Annie, who has PTSD and helped care for her mother during her final stages of cancer
• C) Louie, who does not have PTSD and whose brother was killed in a sudden car accident
• D) Jessie, who has PTSD and was sexually assaulted in a parking garage at night

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Definitions:

Uncollectible Accounts

Accounts receivable that are considered unlikely to be collected and are therefore written off as a loss.

Direct Write-off Method

A method used in accounting to write off bad debts when they are determined to be uncollectible, impacting accounts receivable and expense accounts directly.

Recovery of Bad Debt

The process of collecting funds previously written off as uncollectible, generally resulting in an income statement gain the period it's recovered.

Percent of Sales Method

A financial forecasting approach that estimates future financial statements' items as a percentage of projected sales.