When an account becomes uncollectible and must be written off,
A) Allowance for Doubtful Accounts should be credited.
B) Accounts Receivable should be credited.
C) Bad Debts Expense should be credited.
D) Sales should be debited.

Question

Quizplus · Accepted Answer

When an account is deemed uncollectible, the Accounts Receivable account is credited to remove the uncollectible amount from the books.

When an Account Becomes Uncollectible and Must Be Written Off