Reference no: EM132650499

Question 1: Under the direct write-off method, the entry to write off an account that is determined to be uncollectible is a Debit to Bad Debt Expense and a Credit to

Select one:

A. Accounts Receivable
B. Cash
C. Allowance for Doubtful Accounts
D. None of the above

Question 2: What is the entry to write-off an accounts receivable that is past due under the direct method?

Select one:

A. Credit Bad debt expense, Debit Accounts receivable.
B. Debit Bad debt expense, Credit Accounts receivable.
C. Debit Bad debt expense, Credit allowance for doubtful accounts
D. None of the above

Question 3: Bentley Manufacturing Co. uses the LIFO method of costing its inventory, which indicates that:

Select one:

A. Merchandise are sold in the order in which they are received
B. Last merchandise purchased is sold out first
C. There is no specific order in which merchandise is sold
D. None of the above