1.) Once an account has been identified as being uncollectible, Allowance for Uncollectible Accounts is debited (assume an annual adjusting entry is made for uncollectible accounts). Group of answer choices:

 True False 

2.) Travis Company received a payment at maturity on its $1,600, 60-day, 9% note receivable. The journal entry to record the transaction would include a: Group of answer choices is:

1. debits to Cash of $1,624. 
2. credit to Notes Receivable of $1,624. 
3. debit to Cash of $1,616. 
4. credit to Interest Revenue of $16.

3.) A company has a fiscal year ending on March 31. On January 31, it borrowed $40,000 by giving a 6-month, 15% note. The company's March 31 balance sheet should report interest payable of Group of answer choices 

1. $2,000 
2. $1,000 
3. $3,000 
4. $6,000

Answer rating: 100% (QA)

1 False Because Allowance for Uncollectible Account is a Contra account of Receiv... View the full answer