Over Ninety-Five Percent of All New Businesses That Open Each

question 169

Multiple Choice

Over ninety-five percent of all new businesses that open each year in the United States employ ________ workers.

• A)only one or two
• B)fewer than 20
• C)50 or more
• D)over 100

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Definitions:

Bad Debts Expense

The portion of accounts receivable that is estimated to be uncollectible during a period.

Realizable Value

The estimated amount that an asset can be sold for, less any selling costs, at the end of its useful life.

Accounts Receivable

Money owed to a business by its clients or customers for goods or services delivered but not yet paid for.

Accounts Receivable Turnover

A financial ratio that measures how effectively a company collects on its credit sales.