D. $2,300 E. None of the above Your Answer 10. Bad Debt Expense A. Is recognized as an expense in the year the company finds they will not B. Is considered a normal cost of doing business. receive the money C. Is an Other Expense on the Income Statement. D. Is not required by the Matching Concept E. All of the above. Your Answer 11. Which of the following changes describes the payment of $10,000 on the principal of a A. Assets and owners' equity increase by $10,000 long-terminole B. Assets and owners' equity decrease by $10,000 Payable C. Assets and liabilities increase by $10,000 D. Assets and liabilities decrease by $10,000