2.) Please select either True or False for the following questions:

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a. The allowance method of recognizing bad debt expense does not properly match revenues and expenses.

b. Under the allowance method, a company must record the bad debt expense in the same period in which the credit sales were recorded.

c. When a customer makes full or partial payment of an account that has previously been written off, this is considered a recovery.

d. Bad Debt Expense is a permanent account.

e. The percentage of credit sales method for estimating bad debt expense is based on the assumption that the amount of bad debts is a function of the total sales made on credit.

f. New business cannot account for bad debts because they do not have any historical data in relation to collectible accounts.