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Business, 07.08.2019 02:10 myalee1419

What is the effect of bad debts on revenue recognition? a. the seller must believe it is probable it will collect the amounts it is entitled to collectb. bad debts must be of a remote likelihood in order to recognize revenuec. bad debts are deducted from revenue to calculate net revenue on the income statement, similar to sales returnsd. bad debts are ignored when determining whether to recognize revenue, but recognized as an expense on the income statement.

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