At December 31, Before Adjusting and Closing the Accounts Had

question 135

Multiple Choice

At December 31, before adjusting and closing the accounts had occurred, the Allowance for Impairment of Seaboard Corporation showed a debit balance of $3,200. An aging of the accounts receivable indicated the amount probably uncollectible to be $2,100. Under these circumstances, a year-end adjusting entry for uncollectible accounts expense would include a:

• A) Debit to the Allowance for Impairment for $1,100.
• B) Credit to the Allowance for Impairment for $1,100.
• C) Debit to Uncollectible Accounts Expense of $2,100.
• D) Debit to Uncollectible Accounts Expense of $5,300.