12 when the allowance method is used for bad debts, the entry to write off an individual account known to be uncollectible involves a a debit to an expense account. bcredit to an expense account. c credit to the Allowance account. d. debit to the Allowance account. 13. Hellig Company has a $150,000 balance in Accounts Receivable and a $1.000 debit balance in Allowance for Doubtful Accounts Credit sales for the period totaled $900,000. What is the amount of the bad debt adjusting entry if Helig uses a percentage of receivables basis (at 10%)? a $15.000 b. $14,000 C $16.000 d. $15 200 14 The constraint of conservatism is best expressed as a the cost of applying an accounting principle should not exceed its benefit. b. only material items should be recorded and reported C when in doubt, choose the method that will least likely overstate assets and net income. d. the lower of cost or market method should be used for inventories $400,000 500.000 670,000 30.000 15.Barker Company's records show the following for the month of January Total Retained Earnings at January 1... Total Retained Earnings at January 31 .... Total Revenues .... Total Dividends Declared ..... Total expenses for January were a $740.000 b. S770.000 CS570.000 d. $540,000 16.Jetson Company's financial information is presented below. $ 7777 Purchase Returns and Allowances $ 15.000 Sales Returns and Allowances 30,000 Ending Merchandise Inventory 35.000 Net Sales 250,000 Cost of Goods Sold 180.000 Beginning Merchandise Inventory 7777 Gross Profit 7722 Purchases 170,000 The missing amounts above are: Sales Beginning Inventory a $280,000 $45.000 b. $220.000 $45,000 C. $280.000 $60.000 d. $220,000 $60,000 Gross Profit $70,000 $100,000 $70,000 $100,000