Intermediate Accounting 14th Edition

Published by Wiley
ISBN 10: 0470587237
ISBN 13: 978-0-47058-723-2

Chapter 5 - Balance Sheet and Statement of Cash Flows - Questions - Page 279: 17a

Answer

Trade accounts receivable should be listed using the estimated collectible, otherwise referred to as net realizable value.

Work Step by Step

In most cases, the estimate is generated by deducting the collective allowance for doubtful accounts from the total accounts receivable.
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.