The journal entry to record the estimate of uncollectible accounts includes a:

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The estimate of uncollectible accounts is recorded by debiting Bad Debts Expense, which is an expense account, and crediting Allowance for Doubtful Accounts, which is a contra asset account. This method follows the matching principle of accounting by recognizing the expense of uncollectible accounts in the same period as the related sales. Option B is incorrect because it mistakenly reduces Accounts Receivable instead of creating a provision for uncollectible accounts. Option C is incorrect because it reverses the debit and credit entries. Option D is incorrect because it wrongly associates bad debt expense with sales.

The Journal Entry to Record the Estimate of Uncollectible Accounts