Allowance for Doubtful Accounts on the balance sheet
A) is offset against total current assets.
B) increases the cash realizable value of accounts receivable.
C) appears under the heading "Other Assets."
D) is offset against accounts receivable.

Question

Quizplus · Accepted Answer

The Allowance for Doubtful Accounts is a contra asset account that reduces the balance of accounts receivable on the balance sheet. Therefore, it is offset against accounts receivable.

Allowance for Doubtful Accounts on the Balance Sheet