The Allowance for Doubtful Accounts is listed on the balance sheet under the caption:
A)owner's equity.
B)current liabilities.
C)current assets.
D)fixed assets.

Question

Quizplus · Accepted Answer

The Allowance for Doubtful Accounts is a contra account to Accounts Receivable, which is a current asset. Therefore, the Allowance for Doubtful Accounts is also classified as a current asset and listed on the balance sheet under the current assets section.

The Allowance for Doubtful Accounts Is Listed on the Balance