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25. Kentucky Supply Co., which had beginning balance in its Accounts Receivable and Allowance for Doubtful Accounts of $2,000 and $100, respectively. During 2018, it

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25. Kentucky Supply Co., which had beginning balance in its Accounts Receivable and Allowance for Doubtful Accounts of $2,000 and $100, respectively. During 2018, it earned $8,000 of revenue on account. During 2018, the company collected $6,000 of cash from its receivables accounts. Kentucky estimates that it will be unable to collect 2% of revenue on account. Which of the following would be true at December 31, 2018? A. Uncollectible accounts expense would be $260 B. Net realizable value would be $3,840 C. Balance of Accounts receivable would be $2,000 D. Balance in the allowance account would be $260 E. None of the above 26. The term "Book Value" is A. Cost of a depreciable asset minus its salvage value B. Estimated market value of a depreciable asset C. Cost of a depreciable asset minus accumulated depreciation to date D. Cost of a depreciable asset minus accelerated depreciation E. None are correct 27. The term "aging" is associated with which of the following accounts? A. Accounts receivable B. Cash C. Patents D. Supplies E. None 28.LIFO, FIFO & Weighted Average are considered physical flow assumptions. A. True B. False 29. Barry Company ended 2018 with 2 units that had cost $5 each. During 2017, it purchased four identical inventory items. The first two items purchased cost $6.00 each, and the next two items purchased cost $10.00 each. Barney sold five of the items for $15.00 each. Which of the following statements is true? A. Net income will be lower with LIFO than weighted average B. Ending inventory will be higher with weighted average than FIFO. C. Cost of goods sold will be higher with LIFO than weighted average D. Ending inventory will be the same no matter which method used. E. Gross margin will be lower with FIFO than LIFO. 30.Which of the following would be classified as a tangible asset? A. Patent B. Trademark C. Copyright D. Contract

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