Solved

For a Company with Significant Uncollectible Receivables, the Direct Write-Off

Question 111

Multiple Choice

For a company with significant uncollectible receivables, the direct write-off method is unsuitable because:


A) it overstates liabilities on the balance sheet.
B) it violates the matching principle.
C) direct write-offs would be immaterial.
D) it is not allowed for tax reasons.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions