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Content AreaWhich of the following iAllowance for Doubtful Accounts has an unadjusted balance of $(800) at the end of the year, and an analysis of
Content AreaWhich of the following iAllowance for Doubtful Accounts has an unadjusted balance of $(800) at the end of the year, and an analysis of accounts in the customers' ledger indicates doubtful accounts of $15,000. Which of the following records the proper adjustment for doubtful accounts? a. Bad Debt Expense, $(15,800); Allowance for Doubtful Accounts, $(15,800) b. Bad Debt Expense $(15,000); Allowance for Doubtful Accounts, $(15,000) c. Bad Debt Expense, $(800); Allowance for Doubtful Accounts, $(800) d. Bad Debt Expense, $(14,200); Allowance for Doubtful Accounts, $(14,200)s the effect of recording depletion expense on the asset turnover profitability metric and the free cash flow liquidity metric of a company? a. Neither metric is affected. b. Its asset turnover increases, while free cash flow is unaffected. c. Both the asset turnover and free cash flow decrease. d. The asset turnover decreases, while free cash flow increases
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