Adv Acct (2024): Ch 14-14.2

What company is the "real life" focus of this chapter?

• Apple

• Best Buy

• Nike

• UPS

The contra account for Accounts Receivable is...

• Accumulated Depreciation

• Allowance for Uncollectible Accounts

• Uncollectible Accounts Expense

• Bad Debts Expense

Our terms for customer accounts that are on credit are

• 1/5, n/15

• 2/10, n/15

• 1/10, n/30

• 2/10, n/30

Accounts receivable that cannot be collected are called

• collectible accounts

• uncollectible accounts

• accounts receivable

• allowance accounts

The acronym for the principles the accounting profession uses.

• GAAP

• KFC

• EWoT

• SEC

The difference between an asset’s account balance and its related contra account balance.

• market value

• historical cost

• book value

• opportunity cost

The amount of accounts receivable a business expects to collect.

• net realizable value

• gross realizable value

• net market value

• net book value

Crediting the estimated value of uncollectible accounts to a contra account.

• % of sales method

• straight line method

• declining method

• allowance method

There are two methods to estimate uncollectibles. Which is the one we are focusing on?

• percent of sales method

• percent of accounts receivable method

• percent of cash sales method

• percent of aging method

The accounting concept ______________is applied when the process of making accounting estimates is free from bias.

• going concern

• matching revenue with expenses

• neutrality

• credibility