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3 ) The company has adopted the policy that all customer deposits received in advance of delivery are recorded as earned revenue on the day

3) The company has adopted the policy that all customer deposits received in advance of delivery are recorded as earned revenue on the day of cash receipt. In addition, the Company has ceased recording any allowance for doubtful accounts until any uncollectible receivables are fully written-off. Are there any ethical concerns with these policies? What would you recommend?

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