Under the allowance method of recognizing uncollectible accounts, the entry to write-off an uncollectible account

Question

A. Increases the allowance for uncollectible accounts.

B. Has no effect on the allowance for uncolletible accounts

C. Decreases net income. accounts.

D. Has no effect on net income.

VENKITARAMAN KRISHNA MOORTHY VRINDAVAN · Answer

Option (D) ...... Has no effect on net income.

Provided the allowance account is sufficient.

Lesley Lanag CMA CPA · Answer

D. No effect to net income

Entry would be:

Dr. Allowance for doubtful accounts

Cr. Accounts receivable

Anzar Ahmad · Answer

option D- Has no efect on Net Income.

MOHAMMED KHATER · Answer

d -Has no effect on net income