Answers to 14-16 only

Company X estimates bad debt expense with an aging of accounts recevable schedule, in 20XX the companys estimate of uncollectible receivables resulting from the aging analysis is $190 The beginning balance of the allowance for doubtful accounts was $15o Write-offs of bad debts during the period were $270. What amount would be recorded as bad debt expense for the current period? a. $310 b. $230 c. $190 d. $270 10. Which of the following is not a step toward effective internal control over cash? Require signatures from manager and one financial officer on all checks Require that small purchase approvals and cash payments for such purchases be handled by the same individual. Require that the person responsible for removing the cash from the register have no access to the accounting records Require that cash be deposited daily at the bank. a. b. c. d. 11. Which of the following statements regarding statement of cash flows is false? a. The statement of cash flows separates cash inflows and outflows into three major b. The ending balance of the statement of cash flows for year 20X0x must agree with the c. The net increase (or decrease) in cash shown on the statement of cash flows for 20x0X d. Statement of cash flows can be prepared using the direct or the indirect approach. categories amount of cash shown on the balance sheet for 2000X year-end. must equal the net income (or loss) on income statement for 2000X 12. Which of the following statements regarding GAAP is true? a. U.S. GAAP is a body of accounting knowledge followed by all countries. b. GAAP is an abbreviation for generally accepted accounting procedures. c. Changes in GAAP must be approved by the U.S. Senate. d Changes in GAAP can affect the interests of managers and shareholders. 13. The cash T account has a beginning balance of $35,000. During the year, $100,000 was debited and 85,000 was credited to the account. What is the ending balance of cash? a. $50,000 credit balance b.$50,000 debit balance $150,000 credit balance d. $150,000 credit balance At the end of the year, XYZ, Inc. has total assets of S350,000. Ending balances for Retained Earnings, Common Stock, and Additional Paid-in Capital accounts are, $90,000, $20,000 and