The Percent-Of-Sales Method for Computing Uncollectible Accounts

Multiple Choice

The percent-of-sales method for computing uncollectible accounts:

A) computes Uncollectible-Account Expense as a percent of accounts receivable.
B) takes a balance sheet approach.
C) employs the expense recognition (matching) concept.
D) will result in the same amount of estimated Uncollectible-Accounts Expense as the aging-of-receivables method.