13. On September 1, a customer's account balance of $2,300 was deemed to be uncollectible. What entry should be recorded on September I to record the write-off assuming the company uses the allowance method? a. Debit Bad Debts Expense $2,300; credit Accounts Receivable $2,300. b. Debit Allowance for Doubtful Accounts $2,300; credit Bad Debts Expense $2,300. c. Debit Allowance for Doubtful Accounts $2,300; credit Accounts Receivable $2,300. d. Debit Bad Debts Expense $2,300; credit Allowance for Doubtful Accounts $2,300. 14. The direct write-off method a. Complies with the matching principle b. Is acceptable from a theoretical point of view c. Is only acceptable if bad debts are small, insignificant amounts d. Is the primary method used to recognize Bad Debt Expense 15. When the allowance method of recognizing bad debt expense is used, the entries at the time of collection of a small account previously written off would a. Increase net income b. Increase Allowance for Bad Debts c. Decrease net income d. Decrease Allowance for Bad Debts LO. 4 16. A company has net sales of $900,000 and average accounts receivable of $300,000. What is its accounts receivable turnover for the period? a. 0.20. b. 5.00 c. 73.0 d. 3.0 17. Dart reported net sales of $8,739 million and average accounts receivable of $864 million. Its accounts receivable turnover is: a. 0.90. b. 36.1. c. 50.0. d. 10.1 18. Tepsi's accounts receivable turnover was 9.9 for this year and 11.0 for last year. Craig's turnover was 9.3 for this year and 9.3 for last year. These results imply that: a. Craig has the better turnover for both years. b. Tepsi has the better turnover for both years. c. Craig's turnover is improving. d. Craig's credit policies are too loose. LO. 5 19. Electron borrowed $75,000 cash from TechCom by signing a promissory note. TechCom's entry to record the transaction should include a: a. Debit to Notes Receivable for $75,000. b. Debit to Accounts Receivable for $75,000