[The Following Information Applies to the Questions Displayed Below

question 10

Multiple Choice

[The following information applies to the questions displayed below.]

On December 31, Year 1, the Loudoun Corporation estimated that 3% of its credit sales of $112,500 would be uncollectible. Loudoun uses the allowance method. On February 15, Year 2, one of Loudoun's customers failed to pay his $1,050 account and the account was written off. On April 4, Year 2, this customer paid Loudoun the $1,050.

-Which of the following correctly states the effect of Loudoun Company's February Year 2 entry to write off the customer's account?

• A)Option A
• B)Option B
• C)Option C
• D)Option D

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Definitions:

Nurturing

The act of nurturing and promoting the advancement or progress of an individual or entity.

Metropolitan

Relating to a large urban area, typically encompassing both the city and its surrounding suburbs.

Sex Chromosomes

Chromosomes that determine the biological sex of an organism, with human females typically having two X chromosomes and males one X and one Y chromosome.

Sex Hormones

Chemical substances produced by the body that regulate sexual development, reproduction, and behavior.