Weekly Questions: Double-Entry Bookkeeping II (Results for a Period)

Q1: What are balance-day adjustments?

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Q2: What are ‘bad debts’?

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Q3: What two methods can we use to ‘write-off’ bad debts periodically?

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Q4: Describe the allowance method.

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Q5: What are two ways we can estimate bad debts when using the allowance method?

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Q6: Describe the direct write-off method.

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Q7: What are the journal entries when we recognise a bad debt under the direct write-off method?

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Q8: What are the journal entries when we recognise a bad debt under the allowance method?

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Q9: What are ‘closing entries’?

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Q10: What are ‘reversing entries’?

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