Please answer all the questions.

The accounts receivable account in the general ledger serves as a control account because it summarizes the total of the receivables from all customers.

a$.$ True

b$.$ False

Which of the following is a benefit of selling on credit?

a$.$ Some customers do not pay, creating an expense.

b$.$ Expenses are reduced by making sales to a wide range of customers.

c$.$ Revenues are increased by making sales to a wider range of customers.

d$.$ Cash is received sooner.

The allowance for doubtful accounts is a contra account to cash.

a$.$ True

b$.$ False

Under the allowance method, the entry to write off an account that has been deemed uncollectible has an impact on the net income of the firm.

a$.$ True

b$.$ False

Allowance for doubtful accounts has a debit balance of $$980$ at the end of the current year $($prior to adjustment$).$ An analysis of the accounts in the customers' ledger indicates uncollectible accounts of $$16,000.$ The adjusting entry would require a credit to:

a$.$ accounts receivable accounts for $$15,020.$

b$.$ allowance for doubtful accounts for $$15,020.$

c$.$ bad$-$debt expense for $$16,980.$

d$.$ allowance for doubtful accounts for $$16,980.$

$6.$ Under the direct write$-$off method, the entry to write off an uncollectible account would include a:

a$.$ credit to the customer's account receivable

b$.$ credit to bad$-$debt expense.

c$.$ debit to allowance for doubtful accounts

d$.$ credit to allowance for doubtful accounts.

Both credit cards and debit cards bear a risk for the card holder, the issuer, and the business accepting the card.

a$.$ True

b$.$ False

If the maker of a note does not pay at maturity, the maker is said to dishonour the note.

a$.$ True

b$.$ False

The acid$-$test ratio tells whether the entity could pay all its current liabilities if they came due immediately.

a$.$ True

b$.$ False

The practice of selling a note receivable before maturity is called dishonouring the note.

a$.$ True

b$.$ False