of the following is the income statement approach to estimating bad debts?
A) The percent-of-sales method
B) The aging-of-accounts-receivable method
C) The direct write-off method
D) The allowance method

Question

Quizplus · Accepted Answer

The percent-of-sales method is an income statement approach because it estimates bad debts based on a percentage of the company's sales, focusing on the relationship between sales and the expected bad debt expense.

Of the Following Is the Income Statement Approach to Estimating