Which of the Following Is Not True About the Allowance

question 2

Multiple Choice

Which of the following is not true about the Allowance for Doubtful Accounts?

• A)It is a contra asset account.
• B)It is used instead of reducing accounts receivable directly.
• C)It is debited when uncollectible accounts are written off.
• D)It is a liability account.
• E)It is credited when bad debts expense is estimated and recorded.

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Definitions:

Atomic Sentences

The most basic statements in logic that cannot be broken down into simpler components while retaining truth values.

Truth Values

Values indicating the relation of a statement to truth, typically "true" or "false."

Atomic Sentences

Simple sentences that contain no logical connectors and cannot be broken down into smaller components.

Truth Values

The valuation in logic that indicates the truthfulness of a statement, typically identified as 'true' or 'false'.