If a company is owed $10,000 by its customers,but it expects that $1,000 will not be collected,accounts receivable in the balance sheet are reported at the net amount of $9,000.

Question

Quizplus · Accepted Answer

This is true because the company has estimated that $1,000 will not be collected, so the net amount of accounts receivable is $9,000. This is the amount that should be reported on the balance sheet.

If a Company Is Owed $10,000 by Its Customers,but It