Which of the Following Statements Is Not Correct

Which of the following statements is not correct?

A) When using the direct charge-off method, there is no Allowance for Doubtful Accounts account.
B) The use of the direct charge-off method of recording losses from uncollectible accounts usually results in the balance in the Accounts Receivable account being overstated.
C) The direct charge-off method of recording losses from uncollectible accounts is the method required by Federal income tax laws.
D) The direct charge-off method of recording losses from uncollectible accounts is an application of the matching principle.