Which of the following entries would be made to write off an uncollectible account receivable using the direct write-off method?
A) Dr. Allowance for doubtful accounts | Cr. Accounts receivable
B) Dr. Accounts receivable | Cr. Bad debt expense
C) Dr. Bad debt expense | Cr. Accounts receivable
D) Dr. Sales | Cr. Accounts receivable
E) Dr. Sales | Cr. Allowance for doubtful accounts

Question

Quizplus · Accepted Answer

The direct write-off method involves directly reducing the Accounts Receivable account for the amount deemed uncollectible. This results in a debit to Bad Debt Expense, which is an expense account, and a credit to Accounts Receivable, which is an asset account. Therefore, the correct entry would be option C: Dr. Bad debt expense | Cr. Accounts receivable.

Which of the Following Entries Would Be Made to Write