Question: Which statement is not true in relation to bad debts recovered? Group of answer choices The entry made following reinstatement of the account receivable to

Which statement is not true in relation to bad debts recovered?
Group of answer choices
The entry made following reinstatement of the account receivable to record the recovery is debit bad debts recovered and credit accounts receivable.
The accounts receivable should be re-established to maintain a complete history of the customer's activity and restore their credit rating.
The recovery is recorded by effectively reversing the entry originally made to write off the receivable.
The entry to reinstate the accounts receivable is debit accounts receivable and credit bad debts receovered.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

To determine which statement is not true in relation to bad debts recovered lets analyze each option ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

Question 1 For M Ltd the general journal entry for a sale of $3300, including GST, paid for by the customer with a bank issued credit card, is which of the following? a. Debit bank $3300; credit...

Q:

Question 11 pts Accounts receivable is an asset that reports the amounts generated by credit sales that are still owed to an organization by its customers. Group of answer choices True False Flag...

Q:

Question 1 2.5pts The process of transferring the data from the journal into the ledgers is called: Group of answer choices footing transponding posting journalizing Flag this Question Question 2...

Q:

The double-entry accounting system means Group of answer choices Each transaction is recorded with two journal entries. None of these answer choices are correct. The dual effect of each transaction...

Q:

Question 26: Our company signed a 90-day 10% note for $100,000. Using a 360-day year, what is the total interest due on the maturity date? Group of answer choices $1,250.00 $1,562.50 $1,875.00...

Q:

Question 1 What would be the appropriate entry if our company paid $2,400 cash in advance for an insurance policy covering us for the next 24-months? Group of answer choices 1)Debit to Accounts...

Q:

1. Walmart Co. has in-store space that it continuously utilizes to make and sell carmeled popcorn. The only other possible use of that space would be to rent it to a discountoptometrist, $1.99...

Q:

Which company is most likely to use process costing? Group of answer choices A manufacturer of nuclear reactors A construction contractor A paint manufacturer A textbook publisher Flag question:...

Q:

1 Anda seorang pembantu akaun di syarikat Aniq Ammar Enterprise. Pada 31 Disember 2020, anda sedang mengumpulkan semua transaksi perniagaan Aniq Ammar Enterprise untuk menyelaras maklumat dan mengira...

Q:

Question 1 of 40 2.5 Points When using a periodic inventory method, what account is increased when you buy merchandise inventory? A. Cost of Goods Sold B. Beginning Inventory C. Ending Inventory D....

Q:

A B E F H K P Q Off Balance Sheet [Will be 2 in Note Disclosures] Use this column to The Employer's Financial Statements record the critical This problem covers two years' activity rablein queston....

Q:

Explain the term of entrepreneurship, entrepreneur, and enterprise. Describe the role of entrepreneurship in an economic development of a country. Identify qualities of a successful entrepreneur...

Q:

A customers aged listing tells you how much you owe your vendors and whether the debt is current, 3 1 to 6 0 days, 6 1 to 9 0 days or more.

Q:

What challenges have emerge when reviewing long-term debt ratio and long-term debt-to-equity ratio?What is the differences between long-term debt ratio and long-term debt-to-equity ratio?