Question 1.1. Accounts receivable is generally reported ________. (Points : 20)

as a long-term asset separate from notes receivable as a current asset combined with notes receivable before cash in the current assets section at net realizable value in the current assets section

Question 2.2. Holland Company is the payee of a nine month note for $5,000 with an interest rate of 5.5%. The maturity value of this note is ________ (rounded). (Points : 20)

$5,000 $5,206 $5,275 $275

Question 3.3. In a business with good internal controls, the credit department should have no access to ________. (Points : 20)

the accounting information system the private data of customers, such as their social security numbers customers cash

Question 4.4. The aging-of-accounts method for estimating uncollectible accounts receivable ________. (Points : 20)

focuses on the amount of time accounts receivable have been outstanding is also called the income-statement approach computes bad debt expense as a percentage of net sales is used in conjunction with the direct write-off method

Question 5.5. ________ should be debited when writing off an account using the direct write-off method. (Points : 20)

Cash Allowance for uncollectible accounts Uncollectible account expense Accounts receivable