List the following concepts bynumber and indicate the best meaning of said concept by choosing the correct letter. Use only letters in your answer.

1. Direct write-off method

2. Cash discount

3. Accounts receivable aging

Schedule

4. Allowance method

5. Sales returns

6. Balance sheet approach

7. Income statement approach

8. Compensating balance

9. Pledging

10. Without recourse

A. An example of a restriction on cash.

B. Buyer assumes the risk of uncollectibility

C. Bad debt expense is recorded when receivables are written off.

D. Bad debt expense is a % of credit sales.

E.Using receivables as collateral for a loan.

F. Reduces carrying value of accounts receivable without knowing which specific customer accounts are bad debts.

G. Bad debt expense "plugged" by estimating allowance for uncollectible accounts.

H. Grouping accounts receivable depending on the length of time outstanding.

I.Reduces the amount paid by a credit customer if paid within a specified time.

J. When merchandise is returned for credit.