If an account is collected after having been previously written off
A)the allowance account is debited.
B)only the control account is credited.
C)both statement of income and statement of financial position accounts are affected.
D)there is both a debit and a credit to Accounts Receivable.

Question

Quizplus · Accepted Answer

When an account previously written off is collected, the Accounts Receivable account is debited to reinstate the customer's balance, and then credited to record the payment, affecting it with both a debit and a credit.

If an Account Is Collected After Having Been Previously Written