Financial accounting 16th Edition by Jan Williams,Susan Haka,Mark Bettner ,Joseph Carcello

تمرين 66

Which of the following best describes the application of generally accepted accounting principles to the valuation of accounts receivable
a.ealization principle-Accounts receivable are shown at their net realizable value in the balance sheet.
b.atching principle-The loss due to an uncollectible account is recognized in the period in which the sale is made, not in the period in which the account receivable is determined to be worthless.
c.ost principle-Accounts receivable are shown at the initial cost of the merchandise to customers, less the cost the seller must pay to cover uncollectible accounts.
d.rinciple of conservatism-Accountants favor using the lowest reasonable estimate for the amount of uncollectible accounts.