Under the allowance method for uncollectible accounts, when a specific account is written off
A)total assets are unchanged.
B)net income is decreased.
C)total assets decrease.
D)total assets increase.

Question

Quizplus · Accepted Answer

When a specific account is written off under the allowance method, total assets are unchanged because the write-off reduces both the accounts receivable and the allowance for doubtful accounts by the same amount, with no impact on total assets.

Under the Allowance Method for Uncollectible Accounts, When a Specific