This cost of issuing credit arises because some customers inevitably will not pay for the services or goods they receive.
What is Bad Debt Expense?
100
This is the name of our son, who surprised us by coming 2 weeks early (and also at the start of the semester)
What is Harrison Owen Brown
200
This term refers to the amount of accounts receivable a company expects to collect
What is Net Realizable Value or Net A/R?
200
We measure trading securities at this value, which represents a departure from the Historical Cost Principle
What is Fair Market Value?
300
The direct write-off method for accounting for uncollectible A/R violates this vital accounting principle
What is the Expense Recognition or Matching principle?
300
Baylor and Auburn have, between them, 4 Heisman Trophy Winners. Name two of them.
Who are: Pat Sullivan, Bo Jackson, Cam Newton, and RGIII
400
The estimated amount of receivables a company expects not to collect is included in this special account.
What is the Allowance for Doubtful Accounts?
400
Baylor is a founding member of this football conference, which preceded the Big 12 conference
What is the Southwest Conference?
500
(1) Under the direct write-off method, companies credit this account when recording bad debt expense.
(2) Under the Allowance method, companies credit this account when recording bad debt expense.
(1) What is Accounts Receivable?
(2) What is the Allowance for Doubtful Accounts?
500
Companies record this when their trading securities decrease in value, and they have yet to sell the investments.