Which of the following is not a correct statement?     Accounts receivable represents credit sale, and thus, cannot be collected until maturity.     Accounts receivable mainly consists of promissory notes and credit sales.     Accounts receivable is part of the current assets.     Accounts payable mainly consists of purchase of inventory on credit and notes payable.     Accounts payable is part of the current liabilities.

Q: Factoring" occurs when a business sells some of its accounts receivable to another insitution so it…

A: Accounts receivables are asset for a business because they can be converted into cash when they…

Q: The bank does not subtract the amount of your payment from the beginning balance but charges you…

A: Accrued interest: Accrued interest is the outstanding interest expense in the accounting period, as…

Q: How can Notes Receivables be sold to another party? What is the process exactly? Please explain.

A: Notes receivables are current assets of a company. Many companies sell their products or services on…

Q: Discuss the (a) focus and (b) financial statement emphasis of the percent of sales and the analysis…

A: Introduction: Financial statements are documents that describe a company's operations and financial…

Q: Which of the following methods may not be appropiate for estimating bad debt expense? a. Percentage…

A: The bad debt expense is created for the debtors which company finds that would not make the full…

Q: The direct write-off method records bad debt expense when an account is determined to be…

A: Answer is true

Q: 3. The difference between the balance of Accounts Receivable and the balance of Allowance for…

A:

Q: What is the unique balance sheet disclosure that the Allowance Method requires, as opposed to the…

A: Direct Write-off Method charges the bad debt expense when the customer’s account is actually written…

Q: 1. When the direct write-off method is used to record a bad debt, the Bad Debts Expense account is…

A: Lets understand the basics. Bad debt is a amount due from the customer but they will not likely to…

Q: Which of the following is most likely to be used in determining a proper amount to be included in…

A: Allowance for doubtful accounts is a kind of contra asset account. It is used to decrease the value…

Q: The difference between accounts receivable and allowance for doubtful accounts is O a. the bad debt…

A: Bad debt means where the amount receivable from debtor is not expected to realize and hence it…

Q: The Allowance for Doubtful Accounts represents: a. The amount of uncollected accounts written off to…

A: The allowance for doubtful accounts is a contra-asset account that is associated with accounts…

Q: Which one of the following statements is NOT true about account receivables? Select one: a. Account…

A: Accounts receivable: if sale is made on cash the supplier immediately collects the cash and no…

Q: If the percentage of sales is used in determining the allowance for bad debts, the resulting figure…

A: The answer to the question is given below

Q: Which one of the following statements is false? a. Consumer loans are loans banks advance to…

A: Solution:- Loans means the advances made by the bank to the customers, while deposits means the…

Q: The accounts related to the revenue cycle include all of the following except:     A.…

A: Revenue  cycle  generally  consist of  1.order received from the customer 2. process customer order…

Q: Answer the following questions in depth .... Isn't estimating bad debts a way of manipulating net…

A: A company's bad debt value has been frequently calculated based on prior results. This amount is…

Q: Public companies are required to use the Allowance Method to account for uncollectible Accounts…

A: From an investor's perspective, the Allowance Method is beneficial because it provides a more…

Q: Graves Construction is journalizing two transactions related to uncollectible accounts. The first…

A: Accounts receivables are those customer accounts to whom credit sales has been made on account,but…

Completing the Accounting cycle

An accounting cycle is a multiple-step process that analyzes, verify, record and summarize the entities financial data. The accounting cycle starts when the transaction occurs between two parties and ends when the transaction is completed. The accounting cycle changes the entity's financial position as it involves identifying, verifying, and recording the financial transaction in chronological order. Financial position is the summary of business transactions that occurred throughout the particular accounting period. The accounting cycle recurs at the beginning of each financial year.