1. Describe the allowance method of estimating bad debts expense on accounts receivable. How does it differ from estimating bad debts (i.e., uncollectible) on sales and accounts receivable? 2. What is considered in computing the cost of plant assets? How do we distinguish between revenue versus capital expenditures? 3. How do we calculate depreciation under the straight-line, units-of-production, and declining balance methods? How should we account for the disposal of an asset by selling or discarding it? In other words, how is the asset removed from the books? Specifically, what accounts should be included in the journal entry to record the disposition of the asset? 1. Describe the allowance method of estimating bad debts expense on accounts receivable. How does it differ from estimating bad debts (i.e., uncollectible) on sales and accounts receivable? 2. What is considered in computing the cost of plant assets? How do we distinguish between revenue versus capital expenditures? 3. How do we calculate depreciation under the straight-line, units-of-production, and declining balance methods? How should we account for the disposal of an asset by selling or discarding it? In other words, how is the asset removed from the books? Specifically, what accounts should be included in the journal entry to record the disposition of the asset