A company with significant amounts of accounts receivable,experiences uncollectible accounts from time to time.If the company uses the direct write-off method,the effect of writing off an uncollectible receivable will be ________.

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The direct write-off method records bad debt expenses only when an account is specifically identified as uncollectible. As a result, writing off an uncollectible account will decrease net income because it is treated as an expense.

A Company with Significant Amounts of Accounts Receivable,experiences Uncollectible Accounts