Medical Bal. 568,000 Canital Bal Revenge 73) For a company with significant uncollectsible receivables, the direct write-off method is unsuitable because A) it violates the matching principle B) it overstates liabilities on the balance sheet C) it uses estimates for determining the bad debt expense D) companies are not able to track custoener payment histories 74) On June 16, 2018, Evergreen Inc, wrote off the $200 receivable from astomer M. Simmon. On October 14, 201&, Evergreen unexpectrdly receives $200 cash from M.Simmons How should Evergreen record the $200 payment from M.Simmons? Evergreen uses the allowance method 5) A) debit Accounts Receivable - M. Simmons and credit Allowance for Bad Debts debit Cash and credit Accounts Receivable- M. Simmons B) debit Cash and credit Bad Debes Expense C) debit Accounts Receivable - M. Simmons and credit Bad Debts Expense; debit Cash and credit Accounts Receivable- M. Simmons D) debit Cash and credit Allowance for Bad Debts 75) Modern Designs is a new business During its first year of operations credit sales were $45,000 6) and collections of credit sales were $34,000. One account, $700, was written off. Management uses the percent-of-sales method to account for bad debts expense and estimates 3% of credit sales to be uncollectible. Bad debts expense foe the first year of operations is A) $1,350 B) 5650 O) 5700 D) 52,370 76) The Allowance for Bad Debts has a credit balance of $8,000 before the adjusting entry for had 7) debts expense. After analyzing the accounts in the accounts receivable subsidiary ledger using the aging-ot-receivables method, the company's management estimates that uncollectible accounts will be $17,000. What will be the amount of Bad Debts Expense reported on the income A) $8,000 ?) $25,00 C) $9,000 D) $17,000 77) Calculate the interest on ase-day,9%rote for SSO,000.(U-r a 360-day year to compute interest. 8) Round your answer to the nearest dollar.) A) $1,125 B) $4,500 C) 5375 D) $2.250 78) On October 1, 2018, Parker, Inc. made a loan to one of its customers. The custoemer signed a9 9) month note for Siam) at 14%. Calculate the maturity value of the nose. Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar.) A) $98,450 B) $121,550 C) $94,600 D) $125,400 79If the maker of a note does not pay at maturity, 10) A) interest revenue cannot be accrued on the note before the maturity date B) the Accounts Receivable account increases for the amount of the note's principal only C) the debtor no longer owes the payee D) the note is no longer in force because it has expired