1. The balance of Allowance for Doubtful Accounts is added to Accounts Receivable on the balance sheet.

T or F

2. Of the two methods of accounting for uncollectible receivables, the allowance method provides in advance for uncollectible receivables.

T or F

3. If a promissory note is dishonored, the payee should still record interest revenue.

T or F

4. At the end of a period (before adjustment), Allowance for Doubtful Accounts has a credit balance of $5,000. The Accounts Receivable balance is analyzed by aging the accounts and the amount estimated to be uncollectible is $50,000. The amount to be recorded in the adjusting entry for the bad debt expense is $45,000.

T or F