A Company with Significant Amounts of Accounts Receivable,experiences Uncollectible Accounts

question 138

Multiple Choice

A company with significant amounts of accounts receivable,experiences uncollectible accounts from time to time.If the company uses the direct write-off method,the effect of writing off an uncollectible receivable will be ________.

• A)a reduction in net income
• B)nil on net income
• C)an increase in total assets
• D)a generation of positive cash flow

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Definitions:

Logical Steps

A sequence of rational and structured actions or thoughts aimed at achieving a specific goal.

Online Complaints

Grievances or issues raised by customers through the internet on websites, social media platforms, or via email.

Negative Online Comments

Unfavorable or critical remarks made by individuals on internet platforms.

Parallel Step

In processes or instructions, a stage that runs simultaneously with another or follows the same pattern.