Using the Direct Write Off Method
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Gilkey Construction Company writes of the account of Arthur Blanks of $78,000. The journal entry to record this under the direct write off method is:
A) Bad Debts Expense 78,000
Accounts Receivable - Arthur Blanks 78,000
B) Allowance for doubtful accounts 78,000
Bad Debts Expense 78,000
C) Allowance for doubtful accounts 78,000
Accounts Receivable - Arthur Blanks 78,000
D) Accounts Receivable - Arthur Blanks 78,000
Allowance for doubtful accounts 78,000
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A) Bad Debts Expense 78,000
Accounts Receivable - Arthur Blanks 78,000
Under the direct write-off ...
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