Accounts receivable are reported at:
A) Cost.
B) Current value.
C) Fair market value.
D) Net realizable value.

Question

Quizplus · Accepted Answer

Accounts receivable are reported at net realizable value, which is the expected cash inflow from the accounts receivable after deducting any allowance for doubtful accounts or bad debts. This provides a more realistic picture of the value of accounts receivable than reporting them at cost, current value, or fair market value.

Accounts Receivable Are Reported At