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When the Direct Write-Off Method Is Used

Question 140

Multiple Choice

When the direct write-off method is used:


A) the estimated amount of bad debts is debited to Bad Debt Expense.
B) the estimated amount of bad debts is debited to Allowance for Doubtful Accounts.
C) the estimated amount of bad debts is debited to which account Accounts Receivable.
D) bad debts are not estimated.

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