Colleen's account was written off for $800.She received an inheritance from her uncle and wants to clear her account.The entry to record this is to:

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When an account is written off, it means that the business has given up on the expectation of receiving payment from that customer. If the customer later pays the outstanding amount, it is necessary to reinstate the account receivable and record the payment. In this scenario, Colleen wants to clear her account by paying the $800 she owes. This would be recorded by debiting "Accounts Receivable/Maggie" to reinstate the account that was written off, and crediting "Allowance for Doubtful Accounts" to offset the previous write-off. Additionally, we need to credit "Cash" to record the payment received from Colleen. Therefore, the correct entry would be to debit "Accounts Receivable/Maggie," credit "Allowance for Doubtful Accounts," debit "Cash," and credit "Accounts Receivable/Maggie."

Colleen's Account Was Written Off for $800