If the Balance of the Allowance for Doubtful Accounts Account

Multiple Choice

If the balance of the Allowance for Doubtful Accounts account exceeds the amount of a bad debt being written off, the entry to record the write-off against the allowanceaccount results in:

A) No effect on the expenses of the current period.
B) A reduction in current assets.
C) A reduction in owner's equity.
D) A reduction in current liabilities.
E) An increase in the expenses of the current period.