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Figure 1. Dali Ltd. Dali Ltd. reported the following aged receivable listing at December 31, 2019: Days Outstanding Amount ($) Estimated Uncollectible Percentage 0-30
Figure 1. Dali Ltd. Dali Ltd. reported the following aged receivable listing at December 31, 2019: Days Outstanding Amount ($) Estimated Uncollectible Percentage 0-30 31-60 60-90 250,000 60,000 30,000 1% 10% 50% The Allowance to Doubtful Accounts had a debit balance of $6,000 before the year-end adjusting journal entry was made. Dali Ltd. (Refer to Figure 1) The unadjusted debit balance in the Allowance for Doubtful Accounts indicates: Select one: O a. Write-offs during the year exceeded the previous estimate of bad debts Write-offs during the year were less than the previous estimate of bad debts The prior years bad debt expense was overstated O b. O c. O d. The prior years bad debt expense was correct Next page
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