Under the allowance method, writing off an uncollectible account A) affects only balance sheet accounts. B) is not acceptable practice. C) affects both balance sheet and income statement accounts. D) affects only income statement accounts. Treasury Stock is a(n) A) retained earnings account. B) asset account. C) contra stockholders' equity account. D) contra account. Dividends in arrears on cumulative preferred stock A) are considered to be a current liability. B) are considered to be a non-current liability. C) only occur when preferred dividends have been declared. D) should be disclosed in the notes to the financial statements. Unearned Rent Revenue is A) a contra account to Rent Revenue. B) debited when rent is received in advance. C) reported as a current liability. D) a revenue account. In a period of rising prices, which of the following inventory methods generally results in the lowest net income figure? A) Average cost method B) FIFO method C) LIFO method D) Need more information to answer If bonds are issued at a premium, the stated interest rate is A) lower than the market rate of interest. B) higher than the market rate of interest. C) adjusted to a higher rate of interest. D) too low to attract investors