Using the Percentage of Net Sales Method,uncollectible Accounts Expense for the Year

question 119

Short Answer

Using the percentage of net sales method,uncollectible accounts expense for the year is estimated to be $54,000.If the balance of the Allowance for Uncollectible Accounts is an $18,000 credit before adjustment,what is the balance after adjustment?
a.$72,000
b.$38,000
c.$54,000
d.$18,000

---

Definitions:

External Threads

Threads on the outside of a cylindrical surface, designed to fit into a corresponding part with internal threads.

Internal Threads

Threads located on the inside surface of a hole, designed to mate with external threads on a bolt or screw.

Die Cuts

Precise shapes cut from various materials using a die or mold.

Grade 8

A classification referring to the strength and durability of bolts and fasteners, indicating high tensile strength.