Stacy Dash maintains a specialized clientele for whom she performs various services, among which are the sourcing of, and sale to them of, handcrafted artifacts from various parts of the Honduras. At the end of her first year, she disclosed the selected financial information for her business below.

Identify the effect of the transaction on her taxable business income.

At the end of her first year of operation, December 31, 2018, she identifies $15,000 of accounts receivable but estimates that about one-fifth of the amount will not be collectible.

Answer rating: 100% (QA)

Expected uncollectibles allowance 150001 ... View the full answer