Bad Debt Expense is reported on the income statement as
A)part of cost of goods sold.
B)an expense subtracted from net sales to determine gross profit.
C)an operating expense.
D)a contra revenue account.

Question

Quizplus · Accepted Answer

Bad Debt Expense is reported as an operating expense on the income statement, reflecting the cost of estimated uncollectible accounts receivable.

Bad Debt Expense Is Reported on the Income Statement as