The account Allowance for Doubtful Accounts is closed out at the end of the year.

Name: The account Allowance for Doubtful Accounts is closed out at the end of the year.
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The account Allowance for Doubtful Accounts is a contra-asset account that is used to offset the Accounts Receivable account. It is not closed out at the end of the year but instead is adjusted to its appropriate balance. The balance is carried forward to the next accounting period.

The Account Allowance for Doubtful Accounts Is Closed Out at the End