Question

If an entity uses the percentage-of-credit-sales method of accounting for uncollectible accounts, what are the effects on the financial statements if the entity consistently uses too low a percentage of credit sales for estimating bad debts? What are the effects on the financial statements if it consistently uses too high a percentage? Consider the effects on both the income statement and the balance sheet



$1.99
Sales0
Views73
Comments0
  • CreatedFebruary 26, 2015
  • Files Included
Post your question
5000