The Allowance for Doubtful Accounts:
A) Is a contra asset account.
B) Is used instead of reducing accounts receivable directly.
C) Is debited when uncollectible accounts are written off.
D) All of these.
E) Is credited when bad debts expense is estimated and recorded.

Question

Quizplus · Accepted Answer

The Answer of The Allowance for Doubtful Accounts:
A) Is a contra asset account.
B) Is used instead of reducing accounts receivable directly.
C) Is debited when uncollectible accounts are written off.
D) All of these.
E) Is credited when bad debts expense is estimated and recorded.