The allowance method records Uncollectible-Account Expense:
A)in the year of sale.
B)at the end of the accounting period.
C)when the specific account receivable is determined to be uncollectible.
D)A and B

Question

Quizplus · Accepted Answer

The allowance method records Uncollectible-Account Expense both in the year of sale (choice A) and at the end of the accounting period (choice B). However, the amount of the expense is not determined until the specific account receivable is deemed uncollectible (choice C). Therefore, both choices A and B are correct, making D the best answer.

The Allowance Method Records Uncollectible-Account Expense