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Business, 25.04.2020 00:34 hardwick744

Why are estimates of bad debts used to record uncollectible amounts of accounts receivable? Multiple Choice
It is an easier method than waiting for accounts to actually become uncollectible.
Doing so avoids violating the expense recognition ("matching") principle.
Because the actual amount of uncollectible accounts can never be known.
It is the most conservative approach.

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Why are estimates of bad debts used to record uncollectible amounts of accounts receivable? Multiple...
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