Which of the Following Is TRUE of the Proper Balance

Multiple Choice

Which of the following is TRUE of the proper balance sheet treatment of the Allowance for uncollectible accounts?

A) The Allowance for uncollectible accounts is reported as a current liability.
B) The Allowance for uncollectible accounts is reported as a current expense.
C) The Allowance for uncollectible accounts is reported as a separate line item under current assets.
D) Accounts receivable is shown under current assets, net of the allowance for uncollectible accounts.