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If the amount of bad debts expense is understated at year end, then Question 3 options: net income will be understated. shareholders' equity will be

If the amount of bad debts expense is understated at year end, then

Question 3 options:

net income will be understated.

shareholders' equity will be understated.

Allowance for Doubtful Accounts will be overstated.

net Accounts Receivable will be overstated.

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