The Beginning Credit Balance in the Allowance for Doubtful Accounts

Multiple Choice

The beginning credit balance in the allowance for doubtful accounts is $12,656 and the ending credit balance is $14,348. If bad debt expense was $3,879, which of the following statements is true?

A) The allowance account was retroactively debited $2,187 for additional bad debts that became apparent in a future time period.
B) The allowance account was debited $2,187 for write-offs of actual bad debts.
C) The allowance account was credited $2,187 for recoveries of bad debts.
D) The allowance account was credited $2,187 for the difference between the percent of credit sales method and the aging of accounts receivable method.