A contra-asset account,such as Allowance for Doubtful Accounts or Accumulated Depreciation,has a normal balance of a ________ and causes total assets to:

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To account for any bad credit sales that have been included in Sales Revenue and Accounts Receivable,we record offsetting amounts in both the balance sheet and income statement.This adjustment is made at the end of each accounting period to reduce Accounts Receivable (using a contra-asset account called Allowance for Doubtful Accounts)and reduce Net Income (using an expense account called Bad Debt Expense).Since it is a contra-asset account,the Allowance for Doubtful Accounts normally has a credit balance.The adjustment described,which causes this contra-account to increase,results in a decrease in total assets.

A Contra-Asset Account,such as Allowance for Doubtful Accounts or Accumulated