Cornerstones of Managerial Accounting 4th Edition by Maryanne Mowen, Don Hansen, Dan Heitger

Exercise 22

The percentage of accounts receivable that are uncollectible can be ignored for cash budgeting because
A) no cash is received from an account that defaults.
B) it is included in cash sales.
C) it appears on the budgeted income statement.
D) for most companies, it is not a material amount.
E) none of the above is correct.