On November 2,2017,Quaint General Store Concluded That a Customer's $400

question 177

Multiple Choice

On November 2,2017,Quaint General Store concluded that a customer's $400 account receivable was uncollectible and that the account should be written off.What effect will this write-off have on Quaint's 2017 net income and balance sheet totals assuming the allowance method is used to account for bad debts?

• A)Decrease in net income;decrease in total assets
• B)Increase in net income;no effect on total assets
• C)No effect on net income;decrease in total assets
• D)No effect on net income;no effect on total assets

---

Definitions:

Actualize

The process of realizing or achieving one's potential or possibilities, often associated with Maslow's concept of self-actualization.

Responsibility

The state or fact of having a duty to deal with something or of having control over someone; a moral obligation to behave correctly towards or in respect of.

Authenticity

The degree to which an individual's actions are congruent with their values, desires, and self-concept, leading to a genuine mode of existence.

Self-Concept

An individual's perception of themselves, including their beliefs, feelings, and thoughts about their own identity.