When a company is using the direct write- off method, and an account is written off, the journal entry consists of a:
A) credit to Accounts receivable and a debit to Interest expense.
B) debit to Accounts receivable and a credit to Cash.
C) debit to the Allowance for doubtful debts and a credit to Accounts receivable.
D) credit to Accounts receivable and a debit to Bad debts expense.
Correct Answer:
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