Same accounting period as the revenue


Bad debt expense is recognized in the same accounting period as the revenue that is related to the receivable because:

A. the accounts receivable asset should be stated at original cost.

B. the exact amount of the losses from bad debts is known.

C. revenues should be stated at realizable value.

D. all costs incurred in the current period should be subtracted from current period revenues.

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Accounting Basics: Same accounting period as the revenue
Reference No:- TGS041426

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