Which Entry Would Be the Correct Entry to Record That

question 15

Multiple Choice

Which entry would be the correct entry to record that a not-for-profit entity collected $80,000 of amounts pledged and also wrote off $3,000 of amounts pledged that were previously estimated as amounts uncollectible? DEBIT CREDIT

• A) Pledges Receivable $80,000 Cash $80,000
• B) Cash $80,000 Pledges Receivable $80,000
• C) Pledges Receivable $80,000 Allowance for uncollectible pledges 3,000 Cash $83,000
• D) Cash $80,000 Pledges Receivable $83,000 Allowance for uncollectible
• Pledges $3,000
• E) Cash $80,000 Unrestricted net assets-contributions $83,000 Allowance for uncollectible
• Pledges $3,000

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Definitions:

Common Form

A standardized or widely used version of a document, agreement, or legal form.

Value

The importance, worth, or usefulness of something to individuals or society.

Pattern Recognition

The process of identifying patterns in data, enabling recognition, categorization, and prediction.

Entrepreneurial Opportunity

A favorable set of circumstances that creates a need for a new product, service, or business.