Which of the Following Is Not a Significant Difference Between

question 107

Multiple Choice

Which of the following is not a significant difference between the allowance method and the direct write-off method of accounting for uncollectible accounts?

• A)One method requires writing off of uncollectible accounts and the other does not.
• B)One method conforms to GAAP and the other typically does not.
• C)One method reports net realizable value on the balance sheet and the other does not.
• D)One method requires the estimation of uncollectible accounts and the other does not.