To Record Estimated Bad Debts Under the Direct Write-Off Method

question 59

Multiple Choice

To record estimated bad debts under the direct write-off method:

• A) debit Allowance for Uncollectible Accounts and credit Accounts Receivable.
• B) debit Accounts Receivable and credit Allowance for Uncollectible Accounts.
• C) debit Uncollectible-Accounts Expense and credit Allowance for Uncollectible Accounts.
• D) no journal entry is needed.