Response to the following questions:
1. In recording credit card sales, when do you debit Accounts Receivable and when do you debit Cash?
2. A company accumulates sales receipts and remits them to the credit card company for payment. When are the credit card expenses recorded? When are these expenses incurred?
3. Why must bad debts expense be estimated if such an estimate is possible?
4. What term describes the balance sheet valuation of Accounts Receivable less the Allowance for Doubtful Accounts?