Only the net amount of receivables needs to be reported in the statement of financial position.

Name: Only the net amount of receivables needs to be reported in the statement of financial position.
Brand: Quizplus
Rating: 4.8 (31 reviews)

Question

Quizplus · Accepted Answer

This is true. The statement of financial position reports the net amount of receivables, which is the total amount of receivables less any allowances for doubtful accounts or bad debts. This reflects the amount that the company expects to actually collect from its customers.

Only the Net Amount of Receivables Needs to Be Reported