When Using the Allowance Method,the Receipt of a Payment on Receivables

question 67

True/False

When using the allowance method,the receipt of a payment on receivables that have been written-off requires an entry to reverse the write-off to the Allowance for Bad Debts account and an entry to record the receipt of cash.

---

Definitions:

Antianxiety Drugs

Drugs that relieve tension, apprehension, and nervousness.

Antineurotic

Pertaining to substances or methods that are used to prevent or alleviate neurotic disorders.

Therapeutic Drug

Medication used to treat, manage, or prevent disease or symptoms in order to improve the patient's health condition.

Antianxiety

Relating to substances or techniques that reduce or alleviate anxiety.