Gideon Company Uses the Allowance Method of Accounting for Uncollectible $$\begin{array} { | l | r | r | } \hline \text { Cash } & 2,000 & \\\hline \text { Accounts Receivable -A. Hopkins } & & 2,000 \\\hline\end{array}$$

Multiple Choice

Gideon Company uses the allowance method of accounting for uncollectible accounts. On May 3, the Gideon Company wrote off the $2,000 uncollectible account of its customer, A. Hopkins. On July 10, Gideon received a check for the full amount of $2,000 from Hopkins. On July 10, the entry or entries Gideon makes to record the recovery of the bad debt is:

A) $$\begin{array} { | l | r | r | } \hline \text { Cash } & 2,000 & \\\hline \text { Accounts Receivable -A. Hopkins } & & 2,000 \\\hline\end{array}$$
B) $$\begin{array} { | l | r | r | } \hline \text { Allowance for Doubtful Accounts } & 2,000 & \\\hline \text { Accounts Receivable -A. Hopkinse } & & 2,000 \\\hline \text { Accounts Receivable -A. Hopkins } & 2,000 & \\\hline \text { Cash } & & 2,000 \\\hline\end{array}$$
C) $$\begin{array} { | l | r | r | } \hline \text { Accounts Receivable -A. Hopkins } & 2,000 & \\\hline \text { Allowance for Doubtful Accounts } & & 2,000 \\\hline \text { Cash } & 2,000 & \\\hline \text { Accounts Receivable -A. Hopkins } & & 2,000 \\\hline\end{array}$$
D) $$\begin{array} { | l | r | r | } \hline \text { Cash } & 2,000 & \\\hline \text { Bad debts expense } & & 2,000 \\\hline\end{array}$$
E) $$\begin{array} { | l | r | r | } \hline \text { Accounts Receivable -A. Hopkins } & 2,000 & \\\hline \text { Bad debts expense } & & 2,000 \\\hline \text { Cash } & 2,000 & \\\hline \text { Accounts Receivable -A. Hopkins } & & 2,000 \\\hline\end{array}$$