The journal entry to write off a customer's account under the direct write-off method is:

Question

Quizplus · Accepted Answer

The direct write-off method is used when a specific customer's account is deemed uncollectible. The journal entry to write off the account would be to debit Bad Debt Expense (an expense account) and credit the specific Accounts Receivable account being written off. Therefore, the correct option is D - Bad Debt Expense, debit; Accounts Receivable/customer name, credit. Option A is incorrect because the allowance method is not being used. Option B is incorrect because a journal entry is required. Option C is incorrect because cash is not involved in the write-off journal entry.

The Journal Entry to Write Off a Customer's Account Under