Under the Direct Write-Off Method,what Adjustment Is Made at the End

question 130

Multiple Choice

Under the direct write-off method,what adjustment is made at the end of the year to account for possible future bad debts?

• A)Debit Bad Debt Expense.
• B)Debit Allowance for Uncollectible Accounts.
• C)Credit Accounts Receivable.
• D)No adjustment is made.

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Definitions:

Obscured

Refers to something that is not clear or hard to understand due to being hidden or covered.

Direct Approach

A communication structure that begins with the primary concept, like a suggestion, verdict, or appeal, and is then supported by subsequent evidence.

Bad News

Information that is unwelcome, disappointing, or negative, often requiring careful communication to mitigate its impact.

Parenthetical Expression

An additional piece of information inserted into a sentence as a non-essential element, often marked by parentheses.