Adjustment to record bad debts


An aging of a company's accounts receivable indicates that $9,000 are estimated to be uncollectible. If Allowance for Doubtful Accounts has a $1,100 credit balance, the adjustment to record bad debts for the period will require a:

a. debit to Allowance for Doubtful Accounts for $7,900.

b. debit to Bad Debts Expense for $9,000.

c. debit to Bad Debts Expense for $7,900.

d. credit to Allowance for Doubtful Accounts for $9,000.

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Accounting Basics: Adjustment to record bad debts
Reference No:- TGS059515

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