Please answer these 4 questions:

Which of the following is an efficiency measure? *

Debt-to-asset ratio

Average patient cost per days stay in a hospital

Percentage of students entering a university who graduate

The number of members of the board of directors

None of these

Blackfly Ltd. had sales of $600,000 in 2017, all made on credit terms. The company collected $25,000 from credit sales made in 2016, and at the end of 2017 its customers owed the company $50,000. If its accounting policy is to provide for bad debts on the basis of 1% of sales, the bad debt expense would be *

• $10,000
• $7,500
• $6,000
• $5,500
• $5,000

The accounting concept most relevant to reporting sales revenue is *

• recognition
• matching
• historical cost
• periodicity
• accrual

Accounts receivable should be valued in the balance sheet at *

• the expected collectible amount
• the face value of the invoiced goods
• the cost of the goods sold
• the cost of the goods sold, plus a standard markup percentage
• the discounted value of invoiced goods