Hansen Photography Has the Following Outstanding Account Receivables at the End

question 72

Multiple Choice

Hansen Photography has the following outstanding account receivables at the end the month. Calculate the number of days late for each outstanding invoice.

• A) 71 days, 61 days, and 16 days
• B) 76 days, 66 days, and 48 days
• C) 75 days, 65 days, and 48 days
• D) 77 days, 67 days, and 49 days

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to allocate revenue and expenses to the appropriate periods.

December Rent

A specific expense related to the leasing of property or space that is due in the month of December.

Adjusting Entries

Ledger entries prepared at an accounting cycle's end to correctly allocate income and expenses to the period they occurred.