The NACUBO Financial Accounting and Reporting Manual Treats Estimates of Uncollectible

question 46

Multiple Choice

The NACUBO Financial Accounting and Reporting Manual treats estimates of uncollectible student accounts as:

• A) Bad debt expense
• B) A reduction in tuition and fee revenue
• C) Either bad debt expense or a reduction in tuition and fee revenue as long as the policy is consistently applied
• D) None of the above; colleges and universities must use the direct write off method

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Definitions:

Storage Medium

Any material or device that can be used to store data, such as a hard drive, solid-state drive, or optical disc.

Head Crash

A hardware malfunction in a hard disk drive when the read-write head comes into contact with the spinning disk surface, often resulting in data loss.

Software

Programs and operating information used by a computer to perform specific tasks.

Software Developer

A professional who designs, writes, tests, and maintains computer software or applications.