Oceanside Company Uses the Balance Sheet Approach in Estimating Uncollectible

question 187

Multiple Choice

Oceanside Company uses the balance sheet approach in estimating uncollectible accounts expense. It has just completed an aging analysis of accounts receivable at December 31, 2009. This analysis disclosed the following information? What is the appropriate balance for Oceanside's Allowance for Doubtful Accounts at December 31, 2009

• A) $95,000.
• B) 2% of credit sales in 2009.
• C) $1,560.
• D) $2,160.

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Definitions:

Organizational Objective

A specific goal that an organization aims to achieve, which directs its internal decision-making and strategy.

Change

The process or act of making something different than it was before, involving alteration or transformation in structure, appearance, or behavior.

Raised

In a workplace context, typically refers to an increase, such as in salary, level, or awareness about an issue.

Recognizing Accomplishments

The act of acknowledging and valuing the achievements or successes of individuals or groups.