Niagara Art Is a New Business

question 117

Multiple Choice

Niagara Art is a new business.During its first year of operations,credit sales were $41,000 and collections of credit sales were $37,000.One account,$700,was written off.Management uses the percent-of-sales method to account for bad debts expense and estimates 2% of credit sales to be uncollectible.Bad debts expense for the first year of operations is ________.

• A)$120
• B)$820
• C)$700
• D)$1,560

---

Definitions:

Low Neuroticism

A personality trait marked by calmness and stability, indicating a person's tendency to experience fewer negative emotions such as anxiety or depression.

High Agreeableness

Refers to a personality trait characterized by warmth, friendliness, and a cooperative disposition.

Middle-Born Children

Children born in the middle order of sibling birth position, often believed to have specific personality traits such as being adaptable and diplomatic due to their family positioning.

Narcissistic

Pertaining to narcissism, a personality trait characterized by an inflated sense of self-importance, need for admiration, and lack of empathy for others.