Using the accounts receivable aging method,estimated uncollectible accounts are $40,000.If the balance of the Allowance for Uncollectible Accounts is an $8,000 debit before adjustment,what is the balance after adjustment?
A)$8,000
B)$32,000
C)$40,000
D)$48,000

Question

Quizplus · Accepted Answer

The balance of the Allowance for Uncollectible Accounts should be increased by the estimated uncollectible accounts of $40,000. Therefore, the balance after adjustment is $8,000 (debit) + $40,000 = $40,000 (credit).

Using the Accounts Receivable Aging Method,estimated Uncollectible Accounts Are $40,000