A write off of a specific accounts receivable under the allowance method
A) increases bad debt expense for the accounting period.
B) should occur on the last day of the accounting period.
C) decreases the cash realizable value of accounts receivable.
D) should be formally approved by an authorized employee.

Question

Quizplus · Accepted Answer

A write-off under the allowance method requires formal approval to ensure proper authorization and control over the accounts receivable process.

A Write Off of a Specific Accounts Receivable Under the Allowance