Manley operates a law practice on the accrual method and


Question - Manley operates a law practice on the accrual method and calendar year. At the beginning of the year Manley's firm had an allowance for doubtful accounts with balance of $15,000. At the end of the year, Manley recorded bad debt expense of $ 23,000 and the balance of doubtful accounts had increased to $18000? What is Manley's deduction for bad debt expense this year

A. 23,000

B. 3,000

C. 26,000

D. 5,000

E. 20,000

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Accounting Basics: Manley operates a law practice on the accrual method and
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