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ACC 231, Chapter 7

Across
Allowance for Doubtful Accounts is this type of account
The percent of accounts receivable method of estimating bad debts expense focuses on this financial statement
Amounts due from customers for credit sales
The account credited when a company records accrued interest on a note receivable
The accounts receivable _____ is equal to net sales divided by average net accounts receivable
The person who signs a note and promises to pay it when it is due
What a note is called if the maker does not pay it when it is due
The account debited when a company records its estimated bad debts expense using the allowance method
The cost of using borrowed money until a debt is due
Down
This accounting principle states that expenses should be recognized in the same time period as the related revenues
The date on which the principal and any remaining interest is due on a note
The financial statement on which interest revenue is reported
A person who buys accounts receivable for a fee
The person to whom a note is payable
Interest receivable appears under this classification on a balance sheet
This accounting principle states that an amount can be ignored in financial reporting if it is not significant
The method of accounting for bad debts where the estimated bad debts expense is reported on the income statement
The amount of accounts receivable that customers do not pay