Part A: Multiple Choice Questions $(25$ points$)$ the best answer in the scantron sheet.

Each question has one correct answer and is worth $2$ points. Using a pencil, record

a$.$ The allowance method is not correct?

b$.$ The allowance method is used to permitted by generally accepted accounting principles.

c$.$ The allowance method requires companies to value in one of the end of period closing entries.

d$.$ all of the above are correct.

This information is for questions $2$ and $3$: Using the percentage$-$of$-$receivables method, estimated uncollectible accounts are The existing $($unadjusted$)$ balance of the Allowance for $$15,000.$ The existing $($unadjusted$)$ balance of the Allowance for uncollectible Accounts is a $$25,000$ credit. $2.$ In the adjusting journal entry to record bad debt expense for the period, which of the following is correct?

a$.$ debit bad debt expense $$10,00$ b$.$ debit bad debt expense $$15,000$ debit bad debt expense $$25,000$ credit bad debt expense $$10,000$

a$.$ a $$10,000$ credit

b$.$ a $$15,000$ credit

c$.$ a $$25,000$ credit

d$.$ a $$40,000$ debit

$4.$ On March $27,$ T$-$Mobile signed a contract to provide DSU, a customer, with $5$ mobile phones and monthly mobile phone service, beginning on April $1.$ The contract states that DSU will be charged $$200$ for each phone and $$150$ per month for mobile phone service. On March $30,$ T$-$Mobile collected $$1,150$ cash from DSU. On April $1,$ T$-$Mobile delivered the phy

a$.$ March b$.$ March $30.$ March $30$ april $1$ and April $30.$

$5.$ Using the allowance method, the write$-$off of accounts receivable will have which effect at the time of the write$-$off?

a$.$ increase allowance for uncollectible accounts.

b$.$ decrease gross accounts receivable.

c$.$ increase bad debt expense.

d$.$ decrease bad debt expense.

a$.$ Note receivable.

b$.$ Trade receivable.

c$.$ Income tax receivable.

d$.$ Account receivable.