The direct write-off method would be considered acceptable if uncollectible receivables are very low.

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The direct write-off method is generally only considered acceptable when uncollectible receivables are immaterial or very low in amount. This is because the method does not provide any estimate or allowance for uncollectible accounts and only recognizes the actual bad debt when it is determined to be uncollectible. This can result in a distortion of the company's financial statements if a significant amount of receivables end up being uncollectible. Therefore, if uncollectible receivables are very high, companies should use the allowance method instead, which estimates and recognizes an allowance for potential bad debt losses.

The Direct Write-Off Method Would Be Considered Acceptable If Uncollectible