15. What type of account is accounts receivable?

		A. Contra Asset
		B. Liability
		C. Equity--Capital
		D. Equity--Revenue
		E. None of the above

16. In a bank reconciliation, if the balance in cash per the Companys books is 100,000 and the deposit in transit is 20,000 and the interest revenue is 5,000 and the EFT collection is 10,000 and the bank service charge is 1,000 and the NSF check is 24,000, what is the adjusted book balance?

		A. 160,000
		B. 140,000
		C. 120,000
		D. 110,000
		E. None of the above

17. If the balance in accounts receivable is $120,000 and the balance in allowance for bad debts is $10,000, what is the net realizable value of accounts receivable?

		A. 130,000
		B. 120,000
		C. 110,000
		D. 100,000
		E. None of the above

18. What is the amount of total interest to be earned on a $6,000 note at 10%, for 2 months?

		A. $600
		B. 300
		C. 150
		D. 100
		E. None of the above

19. What type of account is allowance for bad debts?

		A. Asset
		B. Contra Revenue
		C. Contra Asset
		D. Equity--Revenue
		E. None of the above

20. At the end of its first year of operations, Company A estimated that $10,000 of its $200,000 of accounts receivable were uncollectible. What is the journal entry to record the $10,000 of uncollectible accounts receivable?

		A. Dr. Bad Debts Expense 10,000; Cr. Accounts Receivable 10,000
		B. Dr. Accounts Receivable 10,000; Cr. Bad Debts Expense 10,000
		C. Dr. Bad Debts Expense 10,000; Cr. Allowance for Bad Debts 10,000
		D. Dr. Allowance for Bad Debts 10000; Cr. Bad Debts Expense 10000
		E. None of the above