The direct write-off method is
A) acceptable for financial reporting purposes.
B) required for income tax purposes.
C) acceptable for auditing purposes.
D) required by generally accepted accounting principles.

Question

Quizplus · Accepted Answer

The direct write-off method is required for income tax purposes, but it is not acceptable under generally accepted accounting principles (GAAP) for financial reporting because it does not match expenses with revenues.

The Direct Write-Off Method Is