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Wendy Wu Calculates That This Year's Estimated Bad Debts Expense

Question 23

Multiple Choice

Wendy Wu calculates that this year's estimated bad debts expense will be $3200.When Wendy makes the adjusting entry,the effect will be:
Bad debt Allowance for doubtful debts Gross accounts
Expense receivable


A) Increase Increase No effect
B) No effect Decrease No effect
C) No effect Increase Decrease
D) Increase No effect Decrease

Correct Answer:

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