The Direct Write-Off Method for Accounting for Bad Debts Is

question 82

True/False

The direct write-off method for accounting for bad debts is preferred over the allowance for doubtful debts method, as the latter creates a negative or contra asset which is not considered a 'real' account under accrual accounting.

---

Definitions:

Words Learning

The process of acquiring new vocabulary and the ability to recognize, understand, and use it.

Children

Young human beings below the age of puberty or below the legal age of majority.

Caloric Content

The amount of energy provided by a food or drink item, measured in calories.

Dinner

The main meal of the day, traditionally eaten in the evening or late afternoon.