Under the direct write-off method of recognizing a bad debt expense. Which of the following statements is/are true?

Question

Under the direct write-off method of recognizing a bad debt expense. Which of the following  statements is/are true?

Xaibi Aslam · Accepted Answer

All of the above

Xaibi Aslam · Answer

The bad debt expense is not matched with the related sales

Xaibi Aslam · Answer

Revenue is overstated in the year of sales

Xaibi Aslam · Answer

It violates the matching principle of accounting

Question #72849