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An Entry Reinstating an Account That Was Previously Written Off

Question 90

Multiple Choice

An entry reinstating an account that was previously written off under the allowance method would show a(n) :


A) decrease to Bad Debts Expense and a decrease to Accounts Receivable.
B) increase to Accounts Receivable and a decrease to Allowance for Doubtful Accounts.
C) increase to Accounts Receivable and an increase to Allowance for Doubtful Accounts.
D) decrease to Bad Debts Expense and an increase to Allowance for Doubtful Accounts.

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