When the direct write-off method is used to recognize uncollectible accounts expense,an Allowance for Doubtful Accounts is not required.

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The direct write-off method records uncollectible accounts expense only when a specific account is deemed uncollectible, eliminating the need for an Allowance for Doubtful Accounts, which is used in the allowance method to estimate future uncollectible accounts.

When the Direct Write-Off Method Is Used to Recognize Uncollectible