Select the alternative that best answers each question or completes each statement.

36. A debit balance in the Allowance for Doubtful Accounts at the end of the accounting period (A debit balance in the Allowance for Doubtful Accounts) a. is the normal balance for that account. b. indicates that actual bad debt write-offs have been less than what was estimated.) c. cannot occur if the percentage of uncollectible accounts is based on an estimate and analysis of the accounts receivable (cannot occur if the percentage of receivables method of estimating bad debts is used.) d. indicates that the write off bad debts have exceeded the estimate of bad debts (indicates that actual bad debt write-offs have exceeded previous provisions for bad debts.)

37. The figure expressed in a Note Receivable is identified as (The amount of a promissory note is called the) a. realizable value b. maturity value c. face value d. proceeds

38. The journal entry to record a note receivable in substitution for an account receivable is (The journal entry to record a note received from a customer to apply on account is) a. debit to Notes Receivable; credit to Accounts Receivable b. debit to Accounts Receivable; Credit to Notes Receivable c. debit to Cash; Credit to Notes Receivable d. debit to Notes Receivable; Credit to Notes Payable

39. A note receivable is received for $20,000 at 90 days, 12% dated September 10 in lieu of an account receivable. The due date of the note will be: (A 90-day, 12% note for $20,000, dated September 10, is received from a customer on account. The due date is) a. december 9 b. December 10 c. December 11 d. december 8