A Company Uses the Direct Write-Off Method to Account for Uncollectible

question 45

Multiple Choice

A company uses the direct write-off method to account for uncollectible receivables.Which of the following is included in the entry to write off an uncollectible account?

• A) A credit to the Allowance for uncollectible accounts
• B) A credit to the customer's Account receivable
• C) A debit to Allowance for uncollectible-accounts
• D) No entry is made to write off uncollectible accounts.

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Definitions:

Tertiary Circular Reactions

The purposeful adaptation of established schemes to new situations.

Concrete Identifications

The process in early child development where children categorize objects and persons in their environment in a literal and straightforward manner.

Naming Conventions

Established rules for determining the names of things within a particular field or industry.

Abstract Information

Concepts or ideas that are not concrete or tangible but are understood intellectually or represent something symbolically.