d. net Accounts Receivable will be understated.
Uncollectibel expense account is also known as Bad debt expense. When an account is written off using the Uncollectible account method, accounts receivable decreases and the Uncollectible account decreases. If Allowance for doubtful accounts is corrected then it results in decrease in accounts receivable. Since Uncollectible account expense is overstated it understates the accounts receivable balance.
Therefore, If the amount of uncollectible account expense is overstated at year end the cash realizable value of Accounts receivable will be understated.
1. avoid them
2. a talk with them
3. ask someone you trust
5. call police