Question 33 0.1 pts Which one of the following is not an accurate description of Allowance for Doubtful Accounts? Contra account Balance sheet account Income statement account Current asset account Question 35 0.1 pts The data presented below is for Falconi, Inc. for 2016. Credit sales during the year $2,100,000 Accounts receivable--December 31, 2016 295.000 Allowance for doubtful accounts --December 31, 2016 28,000 Bad debt expense for the year 17,000 What is the effect on liquidity when Falconi records its estimate for bad debt expense using the allowance method Liquidity decreases Liquidity increases Liquidity stays the same Liquidity both increases and decreases 0.1 pts = Question 40 0.1 pts If a company uses the direct write-off method of accounting for bad debts, It is applying the matching principle. It will record bad debt expense only when an account is determined to be uncollectible. It will reduce the accounts receivable account at the end of the accounting period for estimated uncollectible accounts. It will report accounts receivable in the balance sheet at their net realizable value