question archive Discuss the main differences between the allowance methods using income statement approach and balance sheet approach
Subject:AccountingPrice: Bought3
Discuss the main differences between the allowance methods using income statement approach and balance sheet approach. Which approach do you think provides a better estimate (there is no right answer here per se, as both are acceptable per GAAP)? If you were the CFO at a company, explain why you will pick the balance sheet approach.