Using the balance-sheet approach to estimate uncollectibles, accounts that are 90 days old are:
A)more likely to be collected than accounts 30 days old.
B)equally likely to be collected as accounts 360 days old.
C)less likely to be collected than accounts 30 days old.
D)less likely to be collected than accounts 360 days old.

Question

Quizplus · Accepted Answer

Accounts that are 90 days old are generally considered less likely to be collected than accounts that are only 30 days old, as the likelihood of collection typically decreases as accounts become older.

Using the Balance-Sheet Approach to Estimate Uncollectibles, Accounts That Are