Allowance for Doubtful Accounts Is a Liability Account

question 143

True/False

Allowance for Doubtful Accounts is a liability account.

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Definitions:

Potential Investor

An individual or entity that is considering investing capital in a project, company, or security.

Stock Acquisition

The process of purchasing shares of a company, thereby obtaining a portion of its ownership.

Voting Control

The power to influence or determine outcomes within an organization or governing body through the right to vote.

Commerce Clause

A provision in the U.S. Constitution that grants Congress the power to regulate trade between states, with foreign nations, and among Indian tribes.