A payment of a portion of an accounts payable will A) decrease net income. B) not affect stockholders' equity. C) not affect total assets. D) increase liabilities. Ashley's Accessory Shop started the year with total assets of $210,000 and total liabilities of $120,000. During the year the business recorded $330,000 in revenues, $165,000 in expenses, and dividends of $60,000. Stockholders' equity at the end of year was A) $105,000. B) $195,000. C) $180,000. D) $165,000. Using the allowance method, the uncollectible accounts for the year is estimated to be $50,000. If the balance for the Allowance for Doubtful Accounts is a $9,000 credit before adjustment, what is the amount of bad debt expense for the period? A) $50,000 B) $59,000 C) $41,000 D) $9,000 Alt Corp. issues 5,000 shares of $10 par value common stock at $14 per share. When the transaction is recorded, credits are made to: A) Common Stock $50,000 and Retained Earnings $20,000. B) Common Stock $70,000. C) Common Stock $50,000 and Paid-in Capital in Excess of Par Value $20.000. D) Common Stock $50,000 and Paid-in Capital in Excess of Stated Value $20,000. The expense recognition principle relates to credit losses by stating that bad debt expense should be recorded A) for an exact amount. B) in the same period as allowed for tax purposes. C) in the period of the sale. D) in the period of the loss