Solved

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

Question 72

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) it uses estimates for determining the bad debt expense
D) companies are not able to track customer payment histories

Correct Answer:

verifed

Verified

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

Related Questions