)True B) False 11. The aging of accounts receivable involves classifying each ac
ID: 2594940 • Letter: #
Question
)True B) False 11. The aging of accounts receivable involves classifying each account receivable by how past its due date and estimating the amount that is uncollectible. A) True B) False 12. Plant assets are assets held for sale. A) True B) False Depreciation should be recorded on the date an asset is purchased. A) True B) False 13. otal depreciation expense over an asset's useful life will be identical across all methods of depreciation. A) True B) False 14. T T F 15. The advantage of the allowance method of accounting for uncollectible accounts is that it identifies the specific customers who do not pay their bills TF16. Under the allowance method of accounting for uncollectible accounts receivable no attempt is made to predict bad debts expense. when the assets currently owned are replaced. cost. TF19. The purchase of a property that included land, building, and improvements is TF 7 Accumulated depreciation represents funds set aside to buy new assets TF 18. Ifa machine is damaged during unpacking, the repairs are added to its called a lump-sum purchase. Multiple choice 20. A company has inventory of 10 units at a cost of S10 each on June 1. On June 3, they purchased 20 units at $12 each. 12 units are sold on June 5. Using the FIFO perpetual inventory method, what is the cost of the 12 units that were sold? A) $120. B) $124. C) $128. D) $130. E) $140.Explanation / Answer
Q11) .........True
Q12) ........ False .............there are ment for use in production and sale
Q13) ........ False ........... End of the accounting year and from the date of its use
Q 14) ,,,,,,True ........ Total of depreciation shall be same over the life, even though annual amounts varies
Q 15 ) ........False
Q 16 ) ........False ........... Allowance method uses estimated uncollectables
Q 17) .......True
Q 18 ) .... True
Q 19 ) .... True
Q 20 ) ......10 units * 10 each + 2 units * 12 each = $ 124 ..............option B
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.