Which of the following statements about sales returns and allowances is false? Sales Returns and Allowances are accounted for as expenses, which decrease net income. Companies estimate sales returns and create an allowance. Actual sales returns reduce the allowance account. Creating an allowance account for sales returns allows companies to follow the expense recognition principle. On January 2,2023, Bublik Corporation acquired equipment for $80,000. The estimated life of the equipment is 4 years. The estimated residual value is $7000. What is the amount of depreciation expense for 2024 , if the company uses the double-declining-balance method of depreciation? (Round intermediary calculations to two decimal places and your final answer to the nearest dollar.) $18,250 $36,500 $40,000 $20,000 Which of the following statements about impairment of long-term assets is false? Impairments on long-term assets decrease stockholder's equity but do not affect net income. Companies are required to test all long-term assets for impairment annually. Under U.S. GAAP, companies are not allowed to reverse impairments in future periods. Recording an impairment decreases the reported value of the impaired asset