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  • under the circumstances.??? (a) (b) (c) 7. ???I know the reserve was correct at the end of last period, and I checked the bad-debt expense for this period using a percentage of sales recommended for this class of customers by the top two credit-reporting agencies.??? (a) (b) (c) Answers: 1. a (Many board members mistakenly think reserves have something to do with cash or other liquid assets; they
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