When writing off a​ customer's account using the allowance method: A. Bad Debts Expense is increased with a debit B. The​ customer's account is decreased with a debit C. The Allowance for Bad Debts account is decreased with a debit D. Bad Debts Expense is increased with a credit

FOR YOU AND THE CLASS: What is the journal entry to record Bad debts expense under the allowance method. In other words ....what account would be debited and what account would be credited? Reply

Indicate whether each statement best describes the allowance (A) method or the direct write-off (DW)method. When an account is written off, the debit is to Bad Debts Expense.

Which of the following statements is correct about credit period? A. If a customer purchases goods within the credit period, a cash discount will be allowed to the customer B. If a customer settles the payment within the credit period, a cash discount will be allowed to the customer C. It refers to the period in which customers must settle their debts due D. It refers to the period in which customers need to settle one-third of the debts in order to avoid further interests charged

When an account is written off under the allowance method, there should be a debit to Bad Debt Expense.

When an account is written off using the allowance method, account receivable: A) increases and the allowance account increases. B) is unchanged and the allowance account increases. C) decreases and the allowance account increases. D) decreases and the allowance account decreases.

When using the allowance method, what account is debited when writing off uncollectible accounts? How does this differ from the direct write-off method?

When the allowance method for recognizing uncollectible accounts receivable is used, the allowance account will have a positive balance at the end of the period if  the write-offs during the period exceed the beginning balance the write-offs are equal to the balance of the account at the beginning of the period the write-offs during the period are less than the beginning balance the write-offs are equal to the difference between the beginning and the ending balance of the account.

The entry to write off an account receivable under the allowance method willT ( A. increase total assets O B. increase net income C. reduce net income D. have no effect on net income)

When would you consider a customer debt an uncollectible receivable? A. The debt is older than one year. B. You've been unable to contact them to collect. C. The debt is associated with a non-inventory item. D. You need to match income with expenses.