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22. The term receivables refers to a. amounts due from individuals or companies. b. merchandise to be collected from individuals or companies e cash to

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22. The term "receivables" refers to a. amounts due from individuals or companies. b. merchandise to be collected from individuals or companies e cash to be paid to creditors d. cash to be paid to debtors. 23. Receivables are a. One of the most liquid assets and thus are always considered current assets. b. Claims that are expected to be collected in cash. c. Shown on the Income Statement at cash realizable value. d. Always the result of revenue recognition. 24. Accounts receivable are valued and reported on the balance sheet a in the investment section. b. at gross amounts less sales returns and allowances. c. at cash realizable value. d. only if they are not past due. 25. Under the allowance method, writing off an uncollectible account a. affects only balance sheet accounts. b. affects both balance sheet and income statement accounts. c. affects only income statement accounts. d. is not acceptable practice. 26. The net amount expected to be received in cash from receivables is termed the a. cash realizable value. b. cash-good value. c. gross cash value. d. cash-equivalent value. 27 A debit balance in the Allowance for Doubtful Accounts a. is the normal balance for that account. b. indicates that actual bad debt write-offs have exceeded previous provisions for bad debts. c. indicates that actual bad debt write-offs have been less than what was estimated. d. cannot occur if the percentage of receivables method of estimating bad debts is used. 28. Using the percentage of receivables method for recording bad debts expense, estimated uncollectible accounts are $10,000. If the balance of the Allowance for Doubtful Accounts is $2,000 credit before adjustment what is the amount of bad debt expense for that period? a. $10,000 b. $8,000 c. $12,000 d. $2,000

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