Under the allowance for doubtful debts method, the net amount of assets will not change when recording a transaction that determines that a specific customer will not pay.

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Under the allowance for doubtful debts method, when a specific customer's debt is deemed uncollectible, it results in a decrease in the allowance for doubtful accounts and a corresponding decrease in accounts receivable, leaving the net amount of assets unchanged.

Under the Allowance for Doubtful Debts Method, the Net Amount