When the allowance method is used,the entry which is appropriate when a particular account is written off as uncollectible should include which of the following?
A)debit to trade receivables.
B)debit to bad debt expense.
C)debit to allowance for doubtful accounts.
D)debit to sales revenue.

Question

Quizplus · Accepted Answer

When an account is written off as uncollectible under the allowance method, the entry involves debiting the Allowance for Doubtful Accounts and crediting Accounts Receivable. This reflects the removal of the uncollectible account from the receivables and the use of the allowance that was previously set up for such losses.

When the Allowance Method Is Used,the Entry Which Is Appropriate