An Aging of a Company's Accounts Receivable Indicates $10,000 Is

question 34

Multiple Choice

An aging of a company's accounts receivable indicates $10,000 is estimated to be uncollectible. The company has a $2,000 debit balance in its allowance for doubtful accounts. The adjustment to record bad debt expense for the period will require a(n)

• A) $8,000 debit to Bad Debt Expense.
• B) $8,000 credit to the Allowance for Doubtful Accounts.
• C) $12,000 debit to Bad Debt Expense.
• D) $12,000 credit to Accounts Receivable.

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