the advantages of using the allowance method to account for bad debts include which of the following? (check all that apply.)
Requires no accounting estimates
Matches expenses with related sales
Reports accounts receivable balance at net realizable value

In accounting, the allowance method is a method that involves setting aside a reserve for the bad debts that are expected in the future; the reserve here is based on a percentage of the sales generated in a reporting period which are possibly adjusted for the risk associated with certain customers.

In other word, its matches the estimated expenses or losses from uncollectible accounts receivables against the sales.

the advantages of using the allowance method to account for bad debts include which of the following? (check all that apply.) Requires no accounting estimates Matches expenses with related sales Reports accounts receivable balance at net realizable value

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What is the allowance method for bad debts?

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the advantages of using the allowance method to account for bad debts include which of the following? (check all that apply.)
Requires no accounting estimates
Matches expenses with related sales
Reports accounts receivable balance at net realizable value