When an Account Becomes Uncollectible and Must Be Written Off

question 59

Multiple Choice

When an account becomes uncollectible and must be written off,

• A) Allowance for Doubtful Accounts should be credited.
• B) Accounts Receivable should be credited.
• C) Bad Debts Expense should be credited.
• D) Sales should be debited.

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Definitions:

Add

To attach or combine one thing with another to augment its size, quantity, or total.

UI

This term might refer to "User Interface," which is the means by which a user interacts with a computer, software, or application.

Assumption

A statement accepted as true without proof, often forming the basis of an argument or hypothesis.

MT

Modus Tollens, a form of logical argument or a rule of inference allowing one to deduce a conclusion from a hypothetical proposition and its denial.