Adams CoUses the Allowance Method of Determining Bad Debt Expense

Multiple Choice

Adams Co.uses the allowance method of determining bad debt expense.It collects $250 from a customer that Adams had previously written-off.As a result of collecting this $250,its:

A) total assets increases by $250.
B) net income increases by $250.
C) total assets remains the same.
D) stockholders' equity increases by $250.