When a Piece of Evidence Is Referred to as "Material

question 29

Multiple Choice

When a piece of evidence is referred to as "material," "material" means:

• A)it is relevant and more than remotely connected to the fact.
• B)it is relevant to an important fact in the case.
• C)the prosecution cannot win a conviction without this piece of evidence.
• D)relevant and material are synonymous - any fact that is relevant is also material.

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Definitions:

Allowance for Doubtful Accounts

A contra-asset account that represents the estimated portion of accounts receivable that may not be collectible.

Percentage-of-Receivables Basis

A method used to estimate the amount of bad debt expense by applying a fixed percentage to the total amount of accounts receivable.

Allowance for Doubtful Accounts

A contra-asset account used to estimate the portion of a company's receivables that may not be collectible.

Bad Debt Expense

An expense reported on the income statement, representing the amount of non-collectible accounts receivable during a period.