The Practice of Reporting the Net Realizable Value of Receivables

question 49

Multiple Choice

The practice of reporting the net realizable value of receivables in the financial statements is commonly called:

• A) the cash flow method of accounting for uncollectible accounts.
• B) the direct write-off method of accounting for uncollectible accounts.
• C) the allowance method of accounting for uncollectible accounts.
• D) Both A and B are correct.

---

Definitions:

Microsoft Word

A popular word processing program developed by Microsoft, widely used for creating, editing, and formatting documents.

Blog Posts

Articles or entries posted on a blog platform, usually reflecting the author's personal views, information, or updates.

RSS Feeds

A format for delivering regularly updated web content, allowing users to subscribe and receive updates from their preferred websites.

Camtasia

A software application used for creating video tutorials and presentations directly via screencast, or via a direct recording plug-in to Microsoft PowerPoint.