Dean Art is a new business. During its first year of operations, credit sales were $41,000 and collections of credit sales were $34,000. One account, $725, was written off. Management uses the aging-of-receivables method to account for bad debts expense and estimated $500 as uncollectible at year end. The ending balance of the Allowance for Bad Debts is .

answer; ///i believe that the correct answer is (d) ///all of the

answermeasured by how well she or he does the job'; /

credit history is used by lenders to determine whether you are a 'risky' person to give their money to.

having a short history provide very little data for the lenders. they wouldn't be able to determine your credit behavior from such a small samples. even if they are perfect.

having long credit history with few blemishes provide larger and more accurate data for the lenders to predict your credit behavior.