Under the Allowance Method, When a Receivable That Had Been

question 60

Multiple Choice

Under the allowance method, when a receivable that had been previously written off is collected:

• A) Income is recognized.
• B) An expense is reduced.
• C) Profit is not affected.
• D) Net assets are increased.

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Definitions:

Tastant

A substance that can be tasted, stimulating the taste buds and contributing to the sense of taste.

Depolarize

To decrease the membrane potential of a cell, making the interior less negatively charged relative to the outside.

Taste Bud

Sensory structure, mostly on the tongue, that functions as a taste receptor.

Olfactory Epithelium

A specialized epithelial tissue inside the nasal cavity responsible for the sense of smell.