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NeTakaya
3 years ago
15

Flora Co. uses the allowance method of accounting for uncollectible accounts receivable. The entry to write off an account that

has been determined to be uncollectible would be to
Business
1 answer:
galben [10]3 years ago
8 0

Answer:

Debit Bad debt expense account

Credit Accounts receivable

Being entries to account for uncollectible debts

Explanation:

Under the allowance method, when the organization estimates that there is a probability that a receivable may not be collectible, the entries posted are

Dr Bad debt expense account (P/L)

Cr Allowance for doubtful debt (B/S)

Where it has been determined that the debts are uncollectible (and no previous allowance had been made), the entries posted are;

Dr Bad debt expense account

Cr Accounts receivable

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Option (d) is correct.

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4 0
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prepare an expense record, and make certain that his credit is good so he can continue to spend more than he makes

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3 years ago
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