QUESTION 11 Which of the following is true about bad debt expense? It should appear on the income statement as a contra revenue. It should not appear in the financial statements. It should appear on the statement of financial position as a contra asset. It should appear on the income statement as part of selling expenses. QUESTION 12 Which of the following statements is true about the allowance method for uncollectible accounts? Allowance for Doubtful Accounts is closed each year to Income Summary The net realizable value of trade accounts receivable on the balance sheet is the same before and after an account is written off The net realizable value of trade accounts receivable is greater before an account is written off than after it is written of Bad Debts Expense is debited when a specific account is written off as uncollectible