The ledger of Entity G at the end of the current year shows Accounts Receivable of $350,000. Bad debts are expected to be 5% of Accounts Receivable. Allowance for Doubtful Accounts has a credit balance of $2,000 in the trial balance. What is the amount of bad debt expense for the year?

		$17,500
		$2,000
		$18,500
		$15,500

The following information is available for Entity B for the year ended December 31, 2021. What is net income? Sales $ 70,000 Sales Returns 3,000 Sales Allowances 2,000 Cost of Goods Sold 32,000 Selling Expense 1,200 Administrative Expense 1,000 Interest Expense 800 Interest Revenue 900

		$30,900
		$100
		$30,700
		$65,000

Entity J uses US GAAP and the direct method for operating activities in its statement of cash flows. For the following item, indicate on which financial statement, it would appear: Cash used to purchase an investment in another company

		Multi-step income statement
		Classified balance sheet
		Retained earnings statement
		Statement of cash flows
		Not on any financial statement