Question: 1. Respond to the following statement, Isn't estimating bad debts a way of manipulating net income? 2. Who decides what the useful life of

1. Respond to the following statement, " Isn't estimating bad debts a way of manipulating net income?"

2. Who decides what the "useful" life of an asset is?

3. Does it really matter if you classify an item as capital or revenue expenditure? You still spent the same amount of money to acquire or repair the asset.

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