Essay
Optura Computer Company uses the allowance method to account for bad debts.Indicate the effect of each of the following transactions on gross Accounts Receivable,the Allowance for Uncollectible Accounts,net Accounts Receivable,and Bad Debt Expense.Use (+)for increase,(-)for decrease,and (0)for no effect.
a.A customer pays
b.5% of $100,000 in
c.An account
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