The Accounting Concept or Principle Applied When an Allowance Is

question 47

Multiple Choice

The accounting concept or principle applied when an allowance is provided for estimated uncollectible accounts receivable is:

• A)consistency.
• B)matching revenue and expense.
• C)original cost.
• D)objectivity.

---

Definitions:

Scientific Inquiry

A systematic process of investigation and experimentation used to explore observations and answer questions about the natural world.

Abstract Reasoning

The ability to analyze information, detect patterns and relationships, and solve problems on a complex, intangible level.

Concrete-operational Thought

A stage in Piaget's theory of cognitive development during which children gain the ability to think logically about concrete events.

Formal-operational Thought

The fourth and final stage of Piaget's theory of cognitive development, characterized by the ability to think abstractly, logically, and systematically.