The Allowance for Uncollectible Accounts Currently Has a Debit Balance

question 118

Multiple Choice

The Allowance for uncollectible accounts currently has a debit balance of $200.The company's management estimates that 2.5% of net credit sales will be uncollectible.Net credit sales are $115,000.What will be the balance of the Allowance for uncollectible accounts reported on the balance sheet?

• A) $2,675
• B) $2,875
• C) $3,275
• D) $3,075

---

Definitions:

Case Dockets

Official summaries or records of proceedings and filings in a court case.

Online Legal Research

The process of seeking, finding, and using legal information via internet platforms and databases.

Legal Sources

Documents and materials that provide legal authority or evidence, including statutes, case law, and treaties.

Case Decisions

Legal determinations made by a court regarding the outcome of a dispute or lawsuit.