The account, "Allowance for Doubtful Accounts" is an expense account (the cost of making bad credit sales) that is reported on the income statement.

Name: The account, "Allowance for Doubtful Accounts" is an expense account (the cost of making bad credit sales) that is reported on the income statement.
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Question

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The "Allowance for Doubtful Accounts" account is a contra-asset account that is reported on the balance sheet, not an expense account reported on the income statement.

The Account, "Allowance for Doubtful Accounts" Is an Expense Account