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Total Points Available: 50 Points Multiple Choice (2 Points each) What is the term used to describe the amount of accounts receivable that is actually expected to be collected? 1. Allowance for doubtful accounts a. b. Uncollectible accounts expense The present value of accounts receivable c. Net realizable value d. Allegheny Company ended Year 1 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $23,000 and $900. During the year, Allegheny wrote off $1,500 of Uncollectible Accounts. Using the percent of receivables method, Allegheny estimates that the ending Allowance for Doubtful Accounts balance should be $1,600. What amount would Allegheny report as Uncollectible Accounts Expense on its Year 2 income statement? 2. a. $2,200 b. $1,500 c. $700 d. $1,600 Elliston Company accepted credit card payments of $10,000 of services provided to customers. The credit card company charges a 3% fee for handling the transaction. Which of following describes the effect of this transaction? 3. a. Increase revenue by $9,700 b. Increase assets by $10,000 c. Increase stockholders' equity (retained earnings) by $9,700 d. Increase net income by $10,000